ArcelorMittal is the world’s leading integrated steel and mining company. We are the leading supplier of quality steel products in all major markets including automotive, construction, household appliances and packaging. We also mine iron ore and coal, mostly to supply our own steelmaking operations. In total, around 47% of our steel is produced in Europe, 35% in the Americas and 18% in other regions including Kazakhstan, South Africa and Ukraine. Just over a third (34%) of our steel is marketed as finished products, such as pipes or road crash barriers. Some 28% are speciality products for specific industries and tailored to individual customer needs, such as energy, construction, transportation, automotive or machinery. A good example is our high strength automotive steel, which saves weight and cost in vehicle structures. Finally, billets and blooms make up 11%. All these products are supplied to our customers in more than 170 countries.
ArcelorMittal’s activities are organised according to region, with a product specialisation within those regions.
Our flat operations in Europe and the Americas produce slabs, hot-rolled coil, cold-rolled coil, coated steel products, tinplate and heavy plate. These products are sold to steel-consuming industries such as heavy machinery, automotive, pipes and tubes, construction, packaging and appliances.
ArcelorMittal's long business in Europe and the Americas produces billets, blooms, rebars, wire rod, sections, rails, sheet piles and drawn wires, as well as supplying both seamless and welded tubular products. The main markets for these products are construction and mechanical engineering, as well as energy and automotive applications.
AACIS produces a combination of flat and long products in Asia, Africa and the CIS, with six sites in three countries.
Distribution Solutions is ArcelorMittal’s in-house distribution and processing organisation. It provides customised steel products through further steel processing to meet specific customer requirements, including design and technical support. The main activities are distribution activities (Distribution Solutions), production and supply of construction products (ArcelorMittal Construction), large project management (ArcelorMittal Projects) and ArcelorMittal International, which responsible for selling ArcelorMittal products in markets where we do not have production facilities. It has more than 500 sites in 30 countries.
ArcelorMittal Mining has a world-class resource base of iron ore and coal. At the end of 2010, our total iron ore reserve was estimated to be 4.3 billion tonnes of crude ore. Our crude coal assets are estimated to be 347 million tonnes by the end of 2012, with an average yield of 52%. Having its own mining business is part of ArcelorMittal’s self-sufficiency strategy; almost two-thirds (64%) of our iron ore comes from our own mines in Algeria, Bosnia, Brazil, Canada, Kazakhstan, Liberia, Mexico, Russia, South Africa, Ukraine and the US.
Our mining strategy is to increase iron ore production through both brownfield expansions and specific greenfield projects, giving us access to high-quality deposits. Apart from building greater self-sufficiency in raw materials, we aim also to increase the sale of iron ore to a wide range of customers.
Good corporate governance goes beyond the regulatory requirements and extends to the commitment of individual employees to be good corporate citizens. As stated by our chairman and chief executive officer, Lakshmi Mittal, integrity and reputation are key assets that must be preserved at all times.
ArcelorMittal is committed to applying the best-practice standards in corporate governance, in its dealings with shareholders and with respect to transparency and quality of disclosure and reporting. Shareholder rights and investor dialogue are key pillars of our corporate governance framework. In addition, we aim to take the interests of all our stakeholders into account through a corporate responsibility framework and by engaging with all stakeholders on a regular basis. We continually monitor legal requirements and best practices in the United States, the European Union and Luxembourg to make improvements to our corporate governance standards and procedures when necessary.
ArcelorMittal is a public limited liability company (société anonyme) incorporated in Luxembourg. It is governed by a board of directors in accordance with the requirements set out in the company’s articles of association. The board of directors sets the company’s strategy and the implementation of this strategy is delegated to a group of eight senior executives composing the Group Management Board, headed by the only executive board director, Lakshmi Mittal, our chairman and CEO.
Our board of directors comprises a large majority of independent directors, with 8 independents out of a total of 11 members. To ensure proper checks and balances are in place, a lead independent director – who presides over the independent directors – sets the agenda for board meetings with the chairman and leads the independent directors in executive sessions, which take place before every board meeting. The lead independent director is Mr Lewis B Kaden.
Our appointments, remuneration and corporate governance committee comprises of four directors, all of whom are independent. Our audit committee also has four directors, all of whom are independent. At least half of the directors on ArcelorMittal’s risk management committee are required to be independent. The risk management committee currently consists of three members, two of whom are independent.
ArcelorMittal aims to maintain a reputation for honesty and integrity in its management practices and business transactions. Our code of business conduct applies to all directors, officers and employees of ArcelorMittal and its subsidiaries worldwide.
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