Asian Steel Forum (ASF)

September 26,2011

Metal One Corporation Managing Executive Officer

Naomi Sakaguchi

Overseas Operation of one of

Japanese General Trading Houses

Contents (Referred to as Data No)

【１】 The Outline of Metal One Corporation

【２】 The Comparative Table of Apparent Consumption of Steel and

Automotive Owning between China and Japan

【３】 Comparative Table of Crude Steel Production between china and

Japan(1960~2010)

【４】 The Reorganization of Japanese Steel Industry

【５】 The Global Network of Metal One Corporation

【６】 Overseas Investment of Mitsubishi Corporation and Nissho Iwai

Corporation (Launching period Overseas Business Operation)

【７】 The History of Establishment of Rio Negro SA to Solutions

Usiminas SA Operationso

【８】 Metal One’s Bases in China and Business Investment

List

【９-A】 Business Investment Example in China --Shenzhen Baoling Tongli

Co.,Ltd.

【９-B】 Business Investment Example in China--Shanghai Jiari Precise

Steel Sheet Products Co.,Ltd.

The Outline of Metal One Corporation

■Headquarters:Celestine Shiba Mitsui Bldg., 3-23-1Shiba ,Minato-ku,Tokyo

105-0014 Japan Tel: +81-3-6400-2000 ■Established: January 6,2003 ■Capitalization: Yen100 billion ■Shareholders: Mitsubishi Corporation and Sojitz Corporation ■Scale of Business (for the term ended March 2011) :

Consolidated Assets: Approx. Yen 1,045.3 billion

Consolidated Sales: Approx. Yen 2,523.5 billion

■No. of employees(as of April 2011):

Consolidated: Approx.10,000

Non-consolidated: Approx. 1,242

http://www.mtlo.co.jp

As of Sept. 1 2010

Consolidated Statements;100 million yen

*15-month settlement

ended of Net Sales Operating

profit

Ordinary income

Net income

2011 03 25,235 288 317 188

2010 03 21,090 144 139 105

2009 03 33,316 453 484 206

2008 03 * 35,527 649 661 391

2006 12 27,467 620 637 399

2005 12 25,766 495 532 329

2004 12 22,779 445 475 227

2003 12 19,000 205 212 106

The Outline of Metal One Corporation

■ Directors and Executive Officers:

http://www.mtlo.co.jp

As of Sept. 1 2010

Naoto Mtsuoka President & CEO,

Director

Ryoji Shinohe Senior Executive Vice

President, Director

Terumitsu Kiba Senior Executive Vice

President

Tomohiro Kadokura Managing Executive Officer Chief Regional Officer (North & Central America)

Naomi Sakaguchi Managing Executive Officer Chief Regional Officer (China)

Masakazu Okamura Executive Officer Chief Regional Officer (South America)

Mikio Kinoshita Executive Officer Division COO (Global Marketing Division)

Hiromi Fujikawa Executive Officer Division COO (Business Division 1)

Takeshi Sakasai Executive Officer Division COO (Wire, Specialty Steel & Stainless

Steel Division)

Tetsuya Onishi Executive Officer Division COO (Business Division 3)

Kazuo Otsuki Executive Officer CIO; (Corporate Functional Officer)

Akiyuki Igarashi Executive Officer & CFO Corporate Functional Officer (CFO); Division COO

(Corporate Administration Division)

Takehiro Honda Executive Officer President, Sus-Tech Corporation

(Unit:kg/person)

1964 1970 1990 2008 2010

China 13 28 59 341 445

Japan 324 676 802 654 537

1964 1970 1990 2008 2010

China 0.04 0.08 0.51 3.84 5.80

Japan 5.13 15.13 44.72 59.22 58.70

(Unit:No/100persons)

The Comparative Table of Apparent Consumption of Steel and

Automotive Owning between China and Japan

Automobile Owning

Tokyo Olympic Beijing

Olympic

Shanghai

World Expo

Apparent Consumption of Steel per Head –Converted to crude steel production

Osaka World Expo

Japan and China crude steel（1960～2010）

Thousand ton

【3】

0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

1960年 1964年 1970年 1973年 1980年 1990年 2000年 2005年 2006年 2007年 2008年 2009年 2010年

11,000 12,500 17,800 25,220 37,120 66,350 128,500 353,240 419,149 489,288 500,312 567,842 622,654

22,138 39,799 93,322 119,320 111,395 110,339 106,444 112,471 116,226 120,203 118,739 87,534 109,600

Japan

China

The Reorganization of Japanese Steel Industry

Metal One Corp.—Merger in2003 Nippon Steel Corp.

JFE Steel Corp.

Sumitomo Metal Industries,Ltd.

Kobe Steel Ltd.

Nisshin Steel

Daido Steel

Sanyo Special Steel

Aichi Steel

Equtiy Holdg

Technological

Collaboration

JFE/KOBE

Equity Collaboration

NSC/SMI/KOBE

Merger of Kawasaki Steel

and NKK (2002 )

Merger of Nippon

Steel and Sumitomo

Metal

(planned in 2013)

Steel Products Div.of

Nissho-Iwai Corp.

NSSC

Integration of Welding

Rod Business

【Japanese Blast Furnace Mills】 【Steel Products Distribution Sector】

Marubeni- Itochu Steel

Corp. Merger of Steel Div. of Itochu and

Marubeni (2001)

Toyota Tsusho Corp. (Integration of Tomen and Steel Div.)

Sumitomo Corp. (Buy-in Steel Div.of Nichimen)

Other Steel Distributors Mitsui,Hanwa,Okaya,Nippon Steel

Trading, JFE Trading,Sumikin

Bussan,Shinsho etc.

Steel Products Div.of

Mitsubishi Corp.

【4】

Global Network of Metal One Corp (As of Sept. 1 2011)

【5】

★▼Integrated global bases of

Metal One’s shareholders 90Countries

350Locations

Business Investment

Affiliates:

Japan 76

Rest of the World 74

●Metal One’s base： Japan 23 location

Rest of the World 40

●Euro・Middle East

●Asia

●India

●North America

●South America

●China

●北京

●上海

広州●

香港● ●台北

●高雄

●マニラ ●バンコク ●ブンタオ ●ホーチミン

クアラルンプール●

シンガポール●

●ジャカルタ

●コルカタ

●ニューデリー

ムンバイ●

チェンナイ●

●ドバイ

●モスクワ

●デュッセルドルフ

ボルン

● ●ロンドン

●シアトル

●ポートランド

●ロサンゼルス

シカゴ● ●デトロイト

●インガソル ●トロント

●マイアミ

●ヒューストン

●モンテレイ

●メキシコシティ

●ナッシュビル

●サンパウロ

●クリーブランド ●大連

●厦門

青島●

ジャムシェドプール●

●ハノイ

Overseas Business Investment of MC and Ex-NI

(Overseas Business Operation during Launching Period)

Mitsubishi Corp. Ex-Nissho Iwai Corp.

Company’s Name, Business Type,Established

Location Company’s Name, Business Type,Established

Location

Equity

Ratio(%)

Equity

Ratio(%)

・ G.S.STEEL: Round Bar Prodn (1963) Thailand

・ MSP: Pipe Prdn（1963） Singapore

30.00 30.00

・ LAMIGAL: Galvanized Sheet（1963） Venezuera

・ TISA: Galvanized Sheet Ivory Coast

21.26 27.00

・ GALCASA : Galvanized Sheet（1965） GuateMara

・ ACERINOX:Stainless Steel （1970） Spain

21.67 16.00

・ SUDANESE: Galvanized Sheet（1968） Sudan

・ IWWI: Wire Processing（1971） Indonesia

20.10 46.10

・ HOLASA: Tin Plate （1968） Columbia

・ ISTW : Pipe（1971） Indonesia

17.64 70.00

・ STANDARD STEEL: Pipe （1969） Nigeria

・ PT ARAYA: Auto’s Rim（1973） Indonesia

17.30 10.00

・ RIONEGRO: Plate Processing （1972） Brazil

・ MASAN WIRE: Wire Extn（1973） Korea

85.70 33.30

・ NAMASCOR: Plate Processing（1973） Netherland

・ MASAN TUBE: Tube Prodn（1973） Korea

49.00 45.00

・ SHERKAT DE SHIMMENTA: Galvanized Sheet Prdn（1974） Iran

・ SESS: Electrical Sheet Procsg（1975） Singapore

10.00 70.00

・ KAISER RESOURCES: Coking Coal Develpmet（1967） Canada

10.00

・ MDP: Coal/Cu,Devlpmt/Marketing（1968） Australia

100.00

・ DAHLIA MINING: MINING,Iron Ore Dvlpmt（1965） USA

75.00

【6】

The History of Establishment of Rio Negro SA

to Solutions Usiminas SA Operation

Solutions Usiminas Name Soluções Em Aço Usiminas S.A. (En：Solutions Usiminas）

Establishment Dec. 31,2009

Employees Approx.2,900（As of Jan.2011）

Plant 14site

Annual Cap 2 million ton

Main business Flat,Plate,Pipe

Equity Ratio Usiminas・ Johannes Sleumer・Metal One(20％)

Address (Headquarters）: Rua Prof. Vieira de Mendonca, 3011-Engenho Nogueira, Belo Horizonte-MG, Brazil

1972 Established Rio Negro SA (Mitsubishi Corp.)

1972 Operational start of Rio Negro SA’s main works(Technological

Guidance by Isuzu Corp.)

2000 Construction of new Plant(Induction of newest plant/equipment for manufacturing the products for automobile industry) Cap.0.9Mt/y

2009 Dec Established Solution Usiminas SA after integrating/merging 7 service centers under control of Rio Negro SA and Usiminas

【資料7】

＜Bases in China＞

Name Establishment Equity Ratio Others

Location

Metal One Beijing 2007 100% Administration of Dailian/Qingdao Metal One Shanghai 2003 100% - Metal One Guangzhou 2006 100% Admstn of Xiamen office Metal One Hong Kong 2003 100% -

＜Business Investment Operations.>

Category Name/Location Establishment Equity Ratio Others

【Sheet Processing】 for Household Electric

Appliance and Automobile Industry

Tianjin Rihua(North） 1995 70% Nisshin10%、Minmetals10%、 北辰科技園区10%

Qingdao Haili（North） 2004 27% Qingdao Haili55% Tianjin BCM（North） 1998 25% Baoshan40%、中儲発展35% Shanghai Jiari（East） 1994 53.14% Nippon Steel Trading40% Suzhou NSS（East） 2003 55% Nippon Steel Trading40% 順徳華日（South） 1992 100% － 宝菱同利 (South） 1988 65% COFCO35%

【Plate】 for Construction

/Machinery

HMOP（East） 2007 85% Keiyo Blanking5%，Kobelco5%, Nakajima5%

SMOP （East） 2008 60% Keiyo Blanking40% PM CABIN（East） 2004 35% Press Ind.65%

【Wire Rod】 Nanjing Baoari（East） 1999 35% Baoshan Group51.4% Shanghai Neturen（E） 2003 15% Netsuren40%，中国弹簧40%

【Distributer】 MS Wuhan（C） 2005 40% Minmetals60% SIST（East） 2002 25% 上海舜業75% SWS （East） 2003 25% 順朝59%

【Stainless】 MOH （South） 2004 97.28% Hanwa2.72% Sozhou Precision（S） 2004 97.28% (100%Subsidiary of MOH)

【Other】 Sanyo Seiko （East） 2004 40% Sanes60% Ring Techs Guangzhou 2004 20% Ring Techs80% Haina Haiwoo （East） 1995 18% 海南有色32%

【資料8】

Metal One’s Bases in China and List of

Business Investment Operation

Business Investment Example in China:

(Shenzhen Baoling Tongli)

【資料9-A】

Name of company Shenzhen Baoling Tongili Co.,Ltd.

Date of establishment

April 1988

Capitalization US$15,430,000

Equity Ratio Metal One 65.00%

COFCO 35.00%

Headquarters No 82, Yu’an 2ndRD.,Xin’an 25 Area, Bao’an Dist., Shenzhen City, Guangdong

employees Approx. 140 persons

Line of Business ・Sheet Processin Center

Customers

Organizations who re-export after processing, Japanese Companies (Domestic Sale) , Local Chinese Comanies

The user’s Industriy of Micromotor, AV equipment, Household appliances makers Automotive related Components

Products Handling Quantity

2010fy 76000tons Electric galvanized plate,Cold rolled plate,Electromagnetic plate etc.

2011fy 97000tons Electric galvanized plate, Electromagunetic palate, Cold rolled plate etc.

Materiarls Purchasing

Kobe Steel, JFE, Nippon Steel, Tokyo Kohan Co.,Ltd. etc.

Others Firstly established coil center in China among Japanese Companies in 1988

Business Investment Example in China: (Shanghai Jirai—Original Objective and Current Status)

【資料9-B】

Name Shanghai Jiari Precise Steel Sheet Products Co., Ltd. Address Plot 939 North,Industry DevelopmentZone,Jiading District,Shanghai,China

Establishment Aug 1994

Starting Period(1995-2001) Transition Period(2002-2008) Current Status(2009~)

intension

1)To meet demand by Japanese Companies operating in the area through steel processing and stock sales by Jpn’s trading house.

1）The requirement for additional investment to meet dramatically expanding demand by Shanghai/Hitachi and Panasonic etc. and implemented facility expansion by actual articles investment by MSK Shanghai。 2) The above with integration of business of MSK Shanghai enabled establishment of strong foothold and securing additional demand.

1) The realization of close cooperation with coil centers of NSC and Nippon Steel Trading in East area . 2) The enhancement of suppliability to demand in east area. 3) The strengthening of marketing to achieve.

2)Obtained positive support by NSC, KSL,Nisshin who are materials suppliers

3) The integration enabled to comply with stable/continual profit

Products Sale ・Plan: 1995(First year):27,000tons ⇒1999 58,000tons

・ 2001—85,000tons⇒5yrs later 115,000tons

・ 2010(actual):115,076tons

2011(plan): 124,440tons

Customers

・Japan related users ・Japan related users(Expn of traditional users/integration )

・Japan and China related user.

・Hitachi, Panasonic etc ・Hitachi , Panasonic etc ・上海紫菱商権

・Hitachi , Panasonic etc

・Auto , transport sector

Equity Ratio

Equity Capital:US$4 million US$8,909,323 US$12,060,000

Withdraw of Hanwa and actual articles investment by Mitsubishi

Partnership with Suzhou Nippon steel.

Nissho Iwai 54.4% Nissho Iwai 44.68%→Metal One Metal One 53.14%

NSC Trading 11% Mitsubishi 28.17%→Metal One NSC Trading 40%

Hanwa 9% NSC Trading 14.80% Nippon Steel 5%

Shanhai 吉達 5.6% Shanhai 吉達 2.51% Shanhai吉達 1.86%

SESS 10% SESS 4.49%

LIM TECK LEE CO.,LTD 10% LIM TECK LEE CO.,LTD 5.35%

Business Investment Example in China(Nanjing Baori Wire)

【資料10】

Name Nanjing Baori Wire Products Mfg.Co.,Ltd. Address NANJING ECONOMIC DEVELOPMENT ZONE, 210038 CHINA

Establishment Sept.,1999

Starting Period(1999) 2nd Phase(2005) 3rd Phase(2007) Current Status(2011~)

Intension

To locally supply CHQ wires to automobile components makers to cope with demand for high-quality wires withexpansion of automobile industry. Metal One(then Nissho Iwai Corp.)participated to supply wire rod and meet demand of foreign related components. makers

Successful expansion of automobile industry. Plant capacity reached max. limit and made decision for investment for heat treatment sector to solve Bottleneck.

Chinese auto market double, so Nanjing Baori also strengthen supply chain. Metal One acquired share iin Nanjin baori ,result for combined. With g

Chinese auto market quickly recover from Lheman shock, and grew for No1 market in the world. Plant operation reached full capa. after 2 years., and thinking expansion.

Products Sale 1st year: 20,000tons 2004: 25,000t 2007:36,000 2010(actual):70,013t

2nd year:25,000t 2005: 36,000t ⇒80,000t 2011(plan): 80,000t 2014(plan): 130,020t

Customers

・Automobile components

makers ・Automobile components makers ・Automobile components makers

・Automobile components makers

・Fasteners makers ・Fasteners makers ・Fasteners makers ・Fasteners makers

Equity Ratio

Capital 56.65 million RMB

97.41million RMB 204.596million RMB 204.596million RMB

Nissho Iwai 25% MetalOne 34.88% MetalOne 35% Metal One 35% Baosteel 49% Bao Steel 50% Bao Steel 51.4% Bao Steel 51.4% Nanjing Xingang 21% Nanjing Xingang 12.21% Nanjing Xingang 12.21% Nanjing Xingang 12.21% Kobe Steel 5% Kobe Steel 2.91% Kobe Steel 1.38% Kobe Steel 1.38%

Business Investment Example in China（ Shunglin International Steel Trade）

【資料11】

Name of company Shunglin International Steel Trade Corp.

Date of establishment December 2002

Capitalization 20 million RMB

Equity Ratio Metal One 25%

Shanghai 愛業Steel Co.,Ltd 75%

Headquarters 226, Bonded Industrial Zone ,Zhangiiagang City, Jiangsu Province

Main Operating Works Baoshan ,Shanghai

employees 15persons

Line of Business Purchase and Sale of Steel Products

Customers Wind Power Generation Equipment,Shipbuilding,Construction Machinery, Oil Tank,Gas Tank,Hydro

Electric Power Generation Equipment, Construcion Industry

Products Sale

2010: 161,000 tons Thick Plate,Cold Rolled Plate,HRC,D-Bar

2011(plan): 181,000 tons Ditto

Materials Purchasing Mills

Chinese Mills—Shougang Steel,Angang Steel,Nanjing Steel,Jigang Steel,Xinsteel etc.

Others

Business Investment Example in china: (Qingdao Hali )

【資料12】

Name of company Qingdao Hali Metal One Steel Products Co.,Ltd.

Date of establishment December 2004

Capitalization RMB 100,000,000.-

Equity Ratio

Metal One 20.25%

Qingdao Hali 41.25%

Qingdao 天晨 13.50%

Common Investors 25.00%

*The company was listed at Stock Market of Shenzhen in Jan. 2011

Headquarters 1626,Qingweilu,Jimoshi,Qingdao City,Shandong Province,China

Main Operating Works Qingdao Huangao, Yang Zhou、Hu Zhou etc.

employees 1,200 persons

Line of Business Sheep processing center,Press processing,Foamed styrol processing

Motor Production

Customers

・Sheep processing center

・Chinese automobile manufacturers

・Non-Japanese electric products manufacturers

Products Sale 2010: 400,000 tons HRC,Cold rolled sheet/plate, Surface treated sheet,Electrical sheet

2011(plan): 450,000 tons HRC,Cold rolled sheet/plate, Surface treated sheet,Electrical sheet

Materials Purchase Benxi Steel,Wuhan Steel ,Angang Steel,Baoshan Steel

Nippon Steel ,Kobe Steel

Others

Business Investment Example in China（SMOP）

【資料13】

Name of company Suzhou Metal One Steel Plates Processing Co., Ltd.

Date of establishment December 2008

Capitalization 11.62 million RMB

Equity Ratio

Metal One.: 60%

Keiyo Blanking Kogyo: 40%

Headquarters East to Tonglin Road,South to Xinzi Road,,Wujiang Economic Development Zone,Jiangsu Province,China

Main Operating Works

employees 197 persons(two persons are assigned from Metal One:president ,CFO)

Line of Business Melt-cutting and processing of steel plates for construction machinery and sales of processed steel plates parts

Customers Manufacturers of construction machinery and industrial machinery etc.

Products Sale

2010 (1-12 actual) 10,265 m/tons

2011 (plan) 21,380 m/tons

Materials Purchase MetalOne Shanghai (Mills : Baoshan Steel ,Wuhan Steel,Nanjing Steel,Wuyang steel etc.)

Others Plan to enter the business of painting and canning this September.