Arcelor recently inaugurated the stainless steel tubes plant of its Matthey sro subsidiary, located at Usti nad Labem, north of Prague.

Construction of the new production unit, dedicated to the automotive exhausts market, was completed in 11 months. The new facility represents an investment of 15 million euros in two steps. It will eventually employ more than 100 personnel. The investment is an integral part of Arcelor's strategic ambition to accompany its customers' moves and to develop new markets in the Eastern European countries.

The sharing of skills between the various units of Matthey and Ugine & ALZ as well as the quality of the multicultural management team enabled the start of cutting operations at the end of 2004 and of welding operations in April 2005. Support from the region's financial and institutional partners also contributed to Arcelor's successful integration into the local community.

Arcelor is a leading player of the global steel industry. With a turnover of 30 billion euros in 2004, the company holds leading positions in its main markets: automotive, construction, household appliances and packaging as well as general industry. The company - number one steel producer in Europe and Latin America - aspires to further expand internationally in order to capture the growth potential of developing economies and offer technologically advanced steel solutions to its global customers. Arcelor employs 95,000 associates in over 60 countries. The company places its commitment to sustainable development at the heart of its strategy and intends to be a benchmark for economic performance, labor relations and social responsibility.

Matthey is a member of the Arcelor Group. It specializes in the manufacture of stainless steel tubes for exhausts. In 2004, Matthey posted sales of approximately 80 million euros. The company employs approximately 250 people in Europe.