Bluescope Steel Limited · ASX:BSL
Bluescope Steel — JP Morgan Asia Pacific Conference (September 2005)
30 slides from Bluescope Steel's conference presentation, Sep 28, 2005
Slide 1: Lay
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Slide 2: Slide 2
Slide 3: Safety - Lost Time Injury Frequency Rate
40 35 4 in lost time per million man-hours worked Safety - Jame Care” = we grow: Lost Time Injury Frequency Rate _ 36 HSI (2003) ~ 9.4 Minerals Council of Australia (2004) ~ 7. Medically treated injuries per million man-hours worked 1903 1994 1965 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 FY
Slide 4: A Very Different Kind of Steel Company
A VERY DIFFERENT KIND OF STEEL COMPANY
Slide 5: Value-adding capability
RS, LS <o ke S O-| io Ss oS. = Co eo as oss) sf = 2 es oO 2 | oa = =< © & = a VALUE-ADDING CAPABILITY (Metal Coating Capacity as % of HRC Capacity) Increasing to 54% with 54 a recently announced CAPEX oo = ~~ == © EEE a ————— s Eg ition in #4 worldwide #1 worldwide #1 worldwide = oo Ey 40 10 10 13°
Slide 6: Value-added branded products
, Value- added branded products | Colerbond ABlueScope Steel Company LYSAGHT ~— Zincalume THE VISTAWALL GROUP ABlueScope Steel Company
Slide 7: BlueScope Steel's unique global footprint
_ BlueScope Steel s unique global footprint Malaysia a Singapore ~ °° ; * Indonesia Sri Lanka New Caledonia HH A New Zealand ’; Australia
Slide 8: Capital management - Rewarding shareholders as we grow
- Capital management - Rewarding shareholders as we grow ” Total return to shareholders since BSL’s + Share Buybacks - Public Listing to 30 June 2005 public listing (July 2002): - Purchased and cancelled 102m shares » Share buybacks $ 612m * on market - 76m shares a . * Dividends paid $ 656m off mar
Slide 9: Group headlines FY2005
Group headlines FY2005 — iversified pe ee _apothet outsiansiing result _ Revenue External despatches EBITDA EBIT NPAT EPS After tax Return on Invested Capital Return on Equity Net operating Cashflow Final Ordinary Dividend (fully franked) Special dividend (fully franked) Gearing (net debt) A$7,982 m
Slide 10: EBIT A$ Millions
EBIT A$ Millions Sales Revenue ($m): * Coated & Building Products Asia + North Star BlueScope (50%) * Coated and Building Products North America *NZS & Pacific Steel Products «Port Kembia * Coated & Building Products Australia 659 183 +50% 699/ 1,057 678 / 1,897 +28% +18% 590/756 4,328 15,126
Slide 11: FY04 vs FY05 EBIT by segment
FY04 m FY05 1360 4 + Record EBIT for PKSW, NSBSS & NZS: 4260 vz) North Star 7 BlueScope Steel ‘ "Higher slab i HRC feed prices push Pde Coated & Building Products Australia into 2 1060 | _EBITloss. = 9604 - -C = g60 + Butler North merica improvement, but ca ] ae Lea “760 - missed target _ 660 + ' As
Slide 12: Consistently strong cash flow underpins growth, dividends and value
Consistently strong cash aw ur derpins growth, dividends and value : | A$ millions 2002") = 2003 2004 | 2005-1H 2005-2H FY2005 Net operating cashflow before 381 763 893: 578 647 1,225 borrowing costs and income tax : Net investing cashflows - Capital expenditure & ; Investments (162) (209) (585) : (
Slide 13: Balance Sheet - growing and maintaining flexibility
~ Balance Sheet — growing and maintaining flexibility As At A$ Millions 30 June 2004 30 June 2005 Assets Cash 119 85 Receivables 996 1,060 Inventory 963 1,211 Other Assets 415 479 Net Fixed Assets 3,289 3,629 Total Assets 5,782 6,464 Liabilities Creditors 728 824 Interest Bearing Liabilities 593 876
Slide 14: Our strategy - unchanged and continuing to deliver
Our strategy - unchanged and continuing to deliver + Grow metal coated and painted capabilities, principally in the world’s growth corridor - Asia —— and Far East. Metallic Coated + \ Midstream + Maintain focus on branded products and new Ly) product / market offers. + Research and Development focus
Slide 15: Implementing our strategy - more than major projects
Implementing our strategy ~ more than 20 maj ee Bringing balance to our product portfolio ue FY2006 “i Midstream ae a - 2 - . _ “Brownfields” - ongoing work to generate small capacity increases at all existing operations at minimal / no capital cost - Brownfields (increased metal coating & paint cap
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Slide 20: ee fae
ie _ ee fae Me ee Wee 7 ae Li oo i . ee a 7 | LEA io WEISER
Slide 21: Slide 21
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Slide 23: New 250,000t Metallic Coating & Painting complex at Suzhou, China
_ New 250,000t Metallic Coating & Painting complex at Suzhou, China -mid CY2006.
Slide 24: Butler PEB and Design Centre at Pune, India
Butler PEB and Design Centre at Pune, India - 2H CY2006- i
Slide 25: iy Ven | - &
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Slide 26: Extraordinary period in the global steel industry
Extraordinary period in the global steel industry 250 200 150 100 50 Slab and HRC Prices (Index July 2002 = 100) HUSA Mideast HRCE = Latin America Export Slab2 Volatile Prices FY03 FY04 FY05 China growth continues }} JSM Benchmark Prices, Lump Iron Ore _ . Extreme Deviation 50) 45) Raw material cost
Slide 27: World crude steel production - 1950 to 2004
~ World crude steel production - 1950 to 2004 Average Annual Growth Rates — 4.9% A 1000 0.3% | J 800 i= i ° e i“ c=} 600 = = 6.0% 400 200 1 1 1 1 + 1 1 t 1 0 1950 1960 1970 1980 1990 2000 Source: IIS! _
Slide 28: Global steel industry - dynamic and different
~ Global stee! industry - dynamic and different Six Pillars of a stronger steel industry 1. 2. Restructure / consolidate Reduce price volatility Address raw materials situation Stand against steel subsidies Spend on innovation and reward our investors Become safer and reaffirm our licence to operate
Slide 29: A Very Different Kind of Steel Company
A VERY DIFFERENT KIND OF STEEL COMPANY
Slide 30: Lay
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BlueScope Steel — JP Morgan Asia Pacific Conference (September 2005) on 6ix