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Ipsco Adjusts First Quarter
Earnings Outlook

March 29, 2004 — Ipsco Inc. announced that its first quarter earnings expectations will exceed the $0.25 per share consensus analyst estimate by 50% or more within a range of $0.38 to $0.42 per diluted share.

Ipsco had stated in a February 9, 2004 news release that it was comfortable with analysts' estimates, but conditions have changed since that earlier forecast. Current analysts' estimates for the balance of 2004 will also be exceeded, barring any unforeseen change in general business conditions or drilling activity.

"Good performance by the Ipsco team and favorable market conditions have exceeded our expectations," said David Sutherland, President and CEO. "We expect to report record quarterly shipments of tubular products because of our continued strong Canadian energy tubular market and shipments against our 36-inch diameter spiral pipe order announced earlier. The momentum of our plate business has been even more promising. Our two newest steelworks, in the United States, are running at full capacity. We are working hard to meet the demands of our customer base and in addition we have significant interest from new customers."

"We implemented a raw material surcharge at the beginning of this year given the unprecedented volatility of the ferrous scrap market. While our surcharge formula was not designed to recover, and has not fully recovered, all of our input cost increases, it has helped. Our expectation is these rapid cost increases will subside relatively soon, removing this cost element for both us and our customers," concluded Sutherland.

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