Bluescope Steel Limited · ASX:BSL
Bluescope Steel — Investor Presentation (February 2005)
13 slides from Bluescope Steel's investor presentation, Feb 21, 2005
Slide 1: Continuing to Reward Shareholders As We Grow - Off-Market Buy-Back
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Slide 2: Important Notice
- Important Notice This presentation is not and does not form part of any offer, invitation or recommendation in respect of securities. The off-market buy-back referred to herein will be made only by the buy-back booklet, which will be mailed to eligible shareholders on or about 16 March 2005. No in
Slide 3: Capital management - a BlueScope Steel priority
- Capital management - a BlueScope Steel priority - * Our stated priorities since listing: - return funds tax effectively to shareholders - create shareholder value by investing in value creating growth opportunities * Capability generated by: - consistently strong cashflows - strong balance sheet g
Slide 4: Overview of off-market buy-back
Overview of off-market buy-back = Up to $200m « Discount range of 5% to 14% to the “Market Price”, at 1% intervals * Market Price will be calculated as the VWAP over the 5 trading days up to and including the buy-back closing date (8 April 2005), excluding not “at-market” trades + $3.07 capital comp
Slide 5: Tender range
_ Tender range Discount range of 5% to 14% to the Market Price Market price will be calculated as the VWAP over the 5 trading days up to and including the buy-back closing date, excluding not “at-market” trades At any of the 10 specified discount intervals; or As a Final Price Tender (which will be
Slide 6: Buy-Back Price and acceptance
Buy-Back Price and acceptance * Buy-Back Price will be determined according to tenders lodged + Will be based on the largest discount in the 5%-14% discount range that enables BlueScope Steel to purchase the number of shares it determines to buy back + All successful tenders will receive the same Bu
Slide 7: Scale Back
Scale Back If the total number of shares tendered at or below the Buy-Back Price is greater than the number of shares BlueScope Steel wants to buy, tenders will be scaled back Before any scale back applies, BlueScope Steel will buy back a priority allocation of 250 shares A shareholder tendering all
Slide 8: Australian Tax implications
Australian Tax implica ns Cost base of shareholders is relevant in determining any capital gain or loss * Resident shareholders will generally be deemed to have sold their shares for $3.07 plus any excess of the Tax Value ' over the Buy-Back Price * The difference between the Buy-Back Price and $3.0
Slide 9: Key Dates
— KeyDates Announcement of proposed Buy-Back Cut-off date for franking credit entitlement under 45-day rule 2 Ex-date for Buy-Back and interim dividend $ Record date for Buy-Back and interim dividend 4 Commence mail-out of Buy-Back booklet Tender period opens Payment of interim dividend Tender close
Slide 10: Impact on BlueScope Steel
Impact on BlueScope Steel The Buy-Back, particularly when undertaken at a material discount, is expected to enhance long term shareholder value through increased earnings per share, cash flow per share and return on equity. Funded from liquid assets and established committed funding facilities. Pro
Slide 11: Continuing to Reward Shareholders As We Grow
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Slide 12: Appendix - Illustrative Australian Tax Examples
Appendix - Illustrative Australian Tax Examples $0-$6,000 6,001-$21, 660 1$21,601 - $58,000; $58,001-$76, $70,000+ Per share AS 15.0% | 0.0% | 185% | 31.5% 43.5% | 48.5% Income tax consequences | lllustrative Buy-Back Price 2 $8.15 $8.15 i $8.15 i $8.15 $8.15 i $8.15 Less: capital component ($3.07)
Slide 13: Appendix - Footnotes to Example Tax Implications
Appendix - Footnotes to Example Tax Implications == The marginal tax rate includes the Medicare Levy of 1.5%. The Medicare Levy will depend on an individual's own circumstances. Assuming a Market Price of $9.48, a Buy-Back Price of $8.15 (14% discount to Market Price) is used for illustrative purpos
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