SIDENOR S.A. presented today, Friday April 28, to the Union of Greek Institutional Investors, the current business conditions, the company's competitive and financial position and the group's strategy and growth prospects. SIDENOR holds a strong position in the long products' market in South-eastern Europe. The completion of investments of 370 million in the past few years, for the modernisation, upgrade and expansion of equipment, constitutes a very strong competitive advantage regarding cost of production. Combined with a number of favourable factors, such as production flexibility, the well placed geographic location of its units and the extensive distribution and sales network, easy access to raw materials, the rapid and full customer service, as well as the quality and innovation that characterizes the extended portfolio of its SD branded products, make SIDENOR one of the most important and efficient steel producers in the region. It is important to note that in 2005, SIDENOR was the first steel producer in the region accredited with the ISO 14001 certificate for environmental protection systems. In 2005, the Group turnover was increased by 4,5%, whereas in volume terms, consolidated sales of steel products totalled about 2 million tons. In the last five years, the Group turnover more than tripled, while sales outside Greece represent over 50% of total Group sales. In the domestic market, despite the intensifying competitive environment, the company succeeded to maintain - and in certain sectors increase - its market share. The 2005 Group Profits before Taxes amounted to 31 million versus 62 million in 2004, while the Profits before Interest, Tax and Depreciation (EBITDA) amounted to 104 million, versus 132 million. If the effect of the scrap price fluctuation on the results is considered, the trend remains positive.

This is apparent in the fourth quarter of 2005, when along with the worldwide improvement in the steel sector, financial results are significantly higher than those of 2004. The main objectives of the Group for the near future were also presented:
- The strenghtening of competitive advantages in all areas, mainly through further cost reduction and focus on high margin products, with high expected growth prospects
- The enhancement of its leadership in Greece
- The consolidation of its position in the highly growing construction markets in the Balkans, mainly via its subsidiary STOMANA INDUSTRY. SIDENOR has already announced the start of construction works for the new rolling mill of long products with capacity of 800.000 tons/y in the premises of STOMANA INDUSTRY, in Bulgaria, as well as the renting and exclusive use, with right for future purchase, of a 200.000 tons/y rolling mill in Nikolic Doiran, in FYROM.
- The growth of CORINTH PIPEWORKS, due to the significant improvement in efficiency of its productive units and the favourable conditions of worldwide energy markets.

The new investments of SIDENOR along with the drastic increase of capacity utilisation of CORINTH PIPEWORKS, will lead to a considerable increase in the sales of final steel products of the Group, which by mid 2007 are estimated to reach 250 thousand tons per month. In this context, in 2008 total sales of SIDENOR Group are expected to reach 3 million tons from roughly 2 million in 2005, while the consolidated turnover will reach 1,5 billion Euro versus 957 million 2005.