July 27, 2006 — Arcelor's Board of Directors welcomed the positive reception given by Arcelor's shareholders to the improved offer the Board had recommended following the agreement reached on the Arcelor Mittal merger project.

The Board notes that its initiatives have made it possible to reveal the true value of the company, as the final Mittal Steel cash offer values Arcelor shares at 40.40 EUR.

The agreement (Memorandum of Understanding) signed between Mittal Steel and Arcelor precisely defines the conditions under which the Arcelor Mittal company will operate. Arcelor says the measures defined in this agreement between the two companies will be rapidly implemented, so that the integration can be realized under optimal conditions.

Joseph Kinsch, Chairman Arcelor’s Board of Directors, commented: "The results of the offer, which was subscribed at more than 90%, confirm the value creation and the development potential this project represents for our shareholders. We will now quickly implement the agreement which binds the two groups and launch the integration process in the interest of all our stakeholders, to create the worldwide steel leader in quality and performance."

Arcelor holds leadership positions in its main markets: automotive, construction, household appliances and packaging as well as general industry. The company endeavors to further expand internationally in order to capture the growth potential of developing economies and offer technologically advanced steel solutions to its global customers. In 2006, Arcelor employs 110,000 associates in over 60 countries. The company places its commitment to sustainable development at the heart of its strategy and ambitions to be a benchmark for economic performance, labor relations and social responsibility.