Henry Yu, Chairman and Chief Executive Officer of General Steel commented, "During the fourth quarter of 2014, particularly in December, China's steel mills accelerated production after the required shut-down during the APEC summit, which caused rapid deterioration in the average selling prices of steel products. We believe the near-term challenges for the steel sector will likely linger, and as such, we are strategically accelerating our business transformation."

"The formation of our RFID joint venture in February 2015, and the joint venture for new petroleum storage facility under-preparation in Maoming City are excellent initial steps in our transformation into the Internet-of-Things and Logistics sectors. We are encouraged by our progress to date, and we anticipate these new joint ventures will drive strong synergies and efficiency enhancements for the whole organization."

John Chen, Chief Financial Officer of General Steel, commented, "Despite the persistently tough steel industry fundamentals, we continued to receive support from our SOE partners and local governments with favorable payment and credit terms that helped us to generate $95.2 million in operating cash flow during the fourth quarter. As we transform our organization, we will proactively review our strategy and asset portfolio and seek to restructure low-efficient, non-core assets, as well as idle land resources to unlock hidden fair value. We aim to transform into a leaner and fitter organization with better profitability, and based on the rapid progress of our recently-formed joint ventures, we believe we are well on our way."

Fourth Quarter 2014 Financial Information

1. Sales volume increased by 17.1% year-over-year to approximately 1.35 million metric tons, compared with 1.15 million metric tons in the fourth quarter of 2013.
2. Sales totaled $544.4 million, compared with $548.7 million in the fourth quarter of 2013.
3. Gross loss was $(34.3) million, or (6.3%) of total sales, compared with $(32.7) million, or (6.0%) of total sales in the fourth quarter of 2013.
4. Income from operations totaled $22.7 million, compared with $21.7 million in the fourth quarter of 2013.
5. Net income attributable to the Company was $9.4 million, or $0.16 per diluted share, compared with a net loss of $102,000, or $(0.002) per share in the fourth quarter of 2013.
6. As of December 31, 2014, the Company had cash and restricted cash of $367.3 million.

Full Year 2014 Financial Information

1. Sales volume increased by 6.3% year-over-year to approximately 5.42 million metric tons, compared with 5.10 million metric tons in 2013.
2. Sales were $2.3 billion, compared with $2.5 billion in 2013.
3. Gross loss narrowed to $(19.2) million, or (0.8%) of total sales, compared with a gross loss of $(55.9) million, or (2.3%) of total sales in 2013.
4. Loss from operations was $(6.7) million, compared with income from operations of $34.4 million in 2013.
5. Net loss attributable to the Company was $(48.7) million, or $(0.86) per diluted share, compared with $(33.0) million, or $(0.60) per diluted share in 2013.

For complete details, visit www.gshi-steel.com.

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General Steel Holdings, Inc. is a leading non-state-owned steel maker headquartered in Beijing, China.  With seven million metric tons of crude steel production capacity under management and operations in Tianjin municipality and China's Shaanxi and Guangdong provinces, the Company produces a variety of steel products including rebar and high-speed wire.