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Danieli & C

Annual Report Oct 4, 2017

4464_ip_2017-10-04_cba3541c-985b-422f-8837-bdad7204a13d.pdf

Annual Report

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Danieli Year 2017

Results from Innovation, Reliability and Partnership

  • LETTER TO THE SHAREHOLDERS 2
  • DANIELI AT A GLANCE: GROUP STRUCTURE 4
  • DANIELI AT A GLANCE: GROUP PERFORMANCE 6
  • REPORT OF THE BOARD OF DIRECTORS 7
  • ENGINEERING AND PLANTMAKING LEADING TEAM 12
  • DANIELI TEAM: THE RELIABLE INNOVATIVE PARTNER IN THE METALS INDUSTRY 14
  • MAIN EVENTS OF THE YEAR 21

Danieli & C. Offi cine Meccaniche S.p.A. Headquarters in Buttrio (Udine) Italy Share Capital: euro 81,304,566 fully-paid The data in this publication refer to the period 01.07.2016 / 30.06.2017

Results for the fi scal year 2016 / 2017:
(millions of euro) 2016 / 17 2017 / 18 2017 / 18 2017 / 18
Group Results Group Forecast Forecast Steelmaking Forecast Plantmaking
Revenue 2,490.9 2,450 / 2,550 850 / 900 1,600 / 1,650
EBITDA 202.5 200 / 220 95 / 105 105 / 115
Order book 2,532 2,800 / 3,100 350 / 400 2,450 / 2,700

Dear Shareholders, Customers and Colleagues

Fiscal 2016/2017 was another challenging year for metals plant builders.

As expected, the market for investments in new plants contracted by an average of 30/35% for the third year in a row, reconfi rming the current "New Normal" period. In particular, it is diffi cult to predict what will be the average annual growth rate for steel consumption in the near future.

The previous New Normal period lasted from 1970 to 2000 with an average increase in steel consumption of 8 Mtpy.

In any case, this situation has prompted metals plant developers to downsize their organizations and expand their range of services, in order to align engineering and manufacturing capacity with market demand.

However, the prospects for steel and non-ferrous metal producers – our customers – are looking better because, fortunately, China is being less aggressive on export prices and customs barriers have been put in place. The combination of these two facts has relieved pressure on prices, allowing a return to acceptable profi tability. This situation would appear to be stable in the short term, also because markets such as the US, Europe, China, Vietnam and Russia are seeing growing demand, and the 30/35% underutilization of the existing plants is showing signs of improvement. The consequence of all of this is that our customers have started investing again, mostly in revamps to rationalize plants - while others are being upgraded or shut down - and in technological packages aimed at improving OpEx, quality, operating fl exibility and the environmental impact.

But, investments in new plants are still below par if compared to the period 2000-2012.

A decline in sales is therefore expected for plant builders, but profi tability probably will increase thanks to the restructuring of engineering and manufacturing resources to rebalance supply and demand.

In spite of the market situation described above, for Danieli fi scal 2016/17 ended with a reasonable EBITDA and a satisfactory net profi t – considering the market we have to work with and the losses deriving from the FATA acquisition, Danieli Corus and the seamless tube production plant acquired from ABS in Germany, i.e. ESW Röhrenwerke.

The year 2017/18 will be similar to 2016/17, with the plant-building sector probably experiencing a further erosion of EBITDA, due to orders with unprofi table prices obtained in the last two years and an unfavorable US dollar exchange rate. We predict that as of 2018/19 a trend reversal will take place, bringing with it higher profi tability. It also seems that much better results can be expected from steelmaking (ABS).

Another positive result of 2016/17 is that shareholders' equity and net cash remained unchanged.

The prospects of a possible reversal of the current situation are backed by the forecast of an increase in steel consumption between now and 2035.

The forecast points to an average increase in the annual steel consumption of approximately 20 Mtpy which, although being well below the amount of approximately 52 Mtpy for the period 2000-2012 (an increase which is mainly attributable to China, but also to other regions, such as India, MENA, SEA), is nonetheless

considerably higher than the average increase of approximately 8 Mtpy that characterized the "normal period" from 1975 to 2000. If that is the case, the current New Normal period will be characterized by an average annual growth midway between the disastrous one – for plant builders – of the years 1975-2000, with an average increase in steel consumption of 8 Mtpy, and the exceptional one of 52 Mtpy of the period 2000-2012. Therefore, the outlook is reasonable.

A few remarks on the major events of the past fi scal year:

Plant Making

— With the Shougang plant (China) for hot strip production (Danieli Universal Endless – Danieli patent) that will be coming on stream in mid-2018, and with the MI.DA. at CMC Oklahoma (Danieli patent for endless production of long products), Danieli is well established as the front-runner in the new generation of continuous plants for both fl at and long products.

— Considerable progress was made in terms of technology and market positioning in the aluminum sector with the supply of hot and cold rolling plants for fl at products to Tri-Arrows (USA) and Anshan (China) - world leaders in aluminum, while the plant of Kumz (Russia) for the aerospace, aviation and automotive sectors will start production at the end of 2017.

Also worthy of note are the quality results - beyond all expectations - achieved by the endless plant of Sural (Canada) for the production of high-strength aluminum wire.

— Danieli Automation achieved its fi rst successes with Industry 4.0 and is solidifying its base of operations through investments and the

acquisition of a company specialized in the use of robots. — Finally, the numerous patents generated in past years enabled us to win new orders thanks to our technological competitiveness.

Steel Making

— The steel market is on the upswing, resulting in better margins for ABS as well (Acciaierie Bertoli Safau).

Despite the losses incurred by ABS - in connection with the restructuring of the newly purchased ESW Röhrenwerke seamless pipe mill in Germany, and the stoppage of the Sisak steelmaking plant in Croatia, which will probably resume production at the beginning of 2018 - it managed to end the year with a good profi t. — The ramp-up of the Rotoforge plant continues, and market appreciation of its products is on the rise, thus providing a source of greater added value for the future.

— The DIGIMET 4.0 program and plant robotization were given the green light.

So, the outlook is good for the steelmaking segment, with growth expected to continue through 2017/18 as well.

We continue to apply "lean thinking" principles across the Group, in order to become more competitive and create added-value per person, and especially to enhance our customer service. Customer centricity requires continuous improvement.

In conclusion, we feel that the "new normal" period will continue to infl uence our business in the next few years, but it is diffi cult to predict for how long.

It follows that the plant-building segment until 2018-2019 will maintain its current level of sales thanks to a recovery in demand primarily for revamps and services, while profi tability should increase thanks to the downsizing of worldwide plant departments. Starting from 2018-2019, the effects of an increase in steel demand, which is expected to reach approximately 20 Mtpy, should involve an increase in the demand of new plants as well, which today is still slowed by the post-boom shock. Finally, it can be stated that the prospects for the steel-making segment will probably remain positive for at least the next couple of years.

The Board thanks the Danieli Group team for their enthusiasm, dedication and passion for their work. Their energy and positive attitudes are critical factors to maintaining our success, constant progress and expansion, and on top of this, the ability to innovate. These attributes cannot be bought or learned, but have been built into the company's character since the beginning, and have come to be our most valuable, intangible asset. We also thank our customers, whose innovative spirit makes them true partners in our quest to set new production records and to do things better, in order to remain front-runners.

Finally, we wish to thank our shareholders, who allow us to invest more than 95% of our profi ts back into the company to fi nance growth and innovation.

We like to believe that this approach and vision stands not only for trust, but also for motivation in sharing with the Danieli team our pride in continued improvement, keeping us a step ahead.

Gianpietro Benedetti CHAIRMAN

*Services and other Activities

Plantmaking and Steelmaking Companies

QUALISTEEL SPA (ITA)

RÖHRENWERKE GMBH

ESW

(DEU)

completed. Since 2000, our product lines have been expanded to cover blast furnaces, DR plants, seamless and welded pipe mills and now cover the whole spectrum of ironmaking and steelmaking plants, from iron ore to any steel fi nished products as well as those for non-ferrous metals.

Board of Directors

GIANPIETRO BENEDETTI Chairman CAMILLA BENEDETTI Deputy Chairman ALESSANDRO TRIVILLIN CEO GIACOMO MARESCHI DANIELI CEO CARLA DE COLLE ALESSANDRO BRUSSI CHIARA MIO AUGUSTO CLERICI BAGOZZI Directors

Board of Statutory Auditors

RENATO VENTURINI President GAETANO TERRIN VINCENZA BELLETTINI Auditors GIUSEPPE ALESSIO VERNÌ GIULIANO RAVASIO LAURA PIUSSI Deputy Auditors

Group Executive Board

GIANPIETRO BENEDETTI Chairman CARLA DE COLLE Chairman Steelmaking ALESSANDRO TRIVILLIN GIACOMO MARESCHI DANIELI ALESSANDRO BRUSSI WERNER AUER ROLANDO PAOLONE DARIO FABRO MARCO DI GIACOMO LUCA FERRARESI STEFANO STAFISSO

(thousands of euro) 08/09 09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17
Order backlog 3,232,000 3,682,000 3,387,000 3,225,000 3,206,000 3,079,000 3,155,000 2,814,000 2,532,000
Sales revenue 3,209,841 2,583,317 3,118,485 3,081,108 2,782,294 2,944,102 2,765,940 2,508,352 2,490,912
Net income 135,133 201,040 192,461 174,578 163,165 153,577 161,738 87,999 50,540
Total net worth 829,727 1,028,314 1,185,896 1,292,113 1,427,266 1,548,396 1,713,744 1,777,158 1,817,828
Research
and development
135,000 150,000 139,000 146,000 140,000 150,000 200,000 185,000 175,000
Employees 7,974 8,663 9,392 10,037 10,944 11,424 10,954 9,419 8,959
Consolidated net
income per share (euro)
1.73 2.60 2.50 2.51 2.20 2.06 2.17 1.19 0.68
No. of ordinary shares 40,879 40,879 40,879 40,879 40,879 40,879 40,879 40,879 40,879
No. of non convertible
saving shares
40,425 40,425 40,425 40,425 40,425 40,425 40,425 40,425 40,425
Dividends distribution 18,109 26,202 26,193 25,002 23,075 23,075 8,195 8,195 8,195
Dividend per ordinary
share (euro)
0.225 0.33 0.33 0.33 0.30 0.30 0.10 0.10 0.10
Dividend
per non convertible
saving share (euro)
0.2457 0.3507 0.3507 0.3507 0.3207 0.3207 0.1207 0.1207 0.12

Thanks to prudent policies and the highly entrepreneurial spirit of our shareholders, which have always allowed us to allocate a large part of our profi ts to research and development, Danieli has been able to achieve positive results even in periods of economic downturn.

Danieli Group

Danieli Group: Sales Revenue

Summary of results for the year 2016 / 2017

Group revenues are in line with last year's results with diminished sales in the Plant Making sector and increased sales in the Steel Making sector with the ABS Group, which is also showing higher production volumes than in fi scal 2015/16, in spite of the temporary production stoppage of ABS Sisak doo. The normalized gross operating margin (which refl ects the margins related to the order book for the year) remained steady as predicted but was then penalized by the extraordinary expenses incurred in companies that have recently joined the group and are not yet fully integrated: in the Steel Making segment, the ESW pipe mill in Germany and ABS Sisak in Croatia, the Italian company FATA in Plant Making, while the subsidiary Danieli Corus suffered unexpected losses on a job order for a blast furnace in the Netherlands. However, Plant Making revenues are in line with the forecasts made at the beginning of the year and refer to regularly progressing construction schedules contractually agreed with the customers, with EBITDA of 137.1 million euro to be normalized to 153.9 million euro, having sustained in the period "non-recurring" charges amounting to about 16.8 million euro due to non-repeatable costs and restructuring on problematic projects or whose start-up was delayed, in markets that are not yet completely normalized.

Steel Making segment revenues, on the other hand, are slightly higher than what was budgeted at the beginning of the year and show a profi tability of 65.4 million euro, to be normalized to 71.1 million euro, having sustained in the period non-recurring charges amounting to approximately 5.7 million euro due to the restart of the recently acquired pipe mill in Germany and the production stoppage of the Sisak meltshop in Croatia.

Products sold in the period in the Steel Making segment (ABS Group) reached about 1,080,000 tons by June 30, 2017, (a 10% increase over the same period last year), with the goal of maintaining this level of growth in volume next year as well. Therefore for the 2016/2017 fi nancial year EBIT is positive albeit lower in both operating segments; in Steel Making it is also negatively affected by the "one-time" write-down of energy certifi cates at ABS, amounting to almost 8 million euro and concerning certain projects that were initially approved but subsequently rejected by the Regulatory Body. The consolidated net profi t was consequently affected by these contingent situations including fi nancial management, which was negatively infl uenced by the US dollar exchange rate; however it is felt that a recovery will be possible next year in both operating segments, thanks also to the Group's solid net fi nancial position which continues to be considerable and stable.

(millions of euro)

Net Worth

Net Income

Consolidated Annual Report for the year ended June 30, 2017
(millions of euro) to 30/06/2017 to 30/06/2016 Variation
Revenues 2,490.9 2,493.4 0%
Normalized gross operating margin
(Adjusted EBITDA)
225.0 211.4 6%
Gross operating margin (EBITDA) 202.5 211.4 -4%
EBIT 70.3 90.2 -22%
Net profi t for the period 50.2 88.0 -43%
Net profi t attributable to the Group 50.5 88.3 -42%
Net positive fi nancial position 912.5 908.2 0%
Consolidated shareholders' equity 1,817.8 1,777.2 2%
Number of employees 8,959 9,419 -5%
Group order book 2,532 2,814 -11%
(Steel Making) 375 162 131%
Summary of Results by Business Segment
Revenues 30/06/2017 30/06/2016 Variation
(millions of euro)
Plant Making 1,751.0 1,872.1 -6%
Steel Making 739.9 621.3 19%
Total 2,490.9 2,493.4 0%
Normalized gross operating margin
(Adjusted EBITDA)
(millions of euro) 30/06/2017 30/06/2016 Variation
Plant Making 153.9 149.3 3%
Steel Making 71.1 62.1 14%
Total 225.0 211.4 6%
Gross operating margin (EBITDA)
(millions of euro) 30/06/2017 30/06/2016 Variation
Plant Making 137.1 149.3 -8%
Steel Making 65.4 62.1 5%
Total 202.5 211.4 -4%
Operating income
(millions of euro) 30/06/2017 30/06/2016 Variation
Plant Making 57.1 70.9 -19%
Steel Making 13.2 19.3 -32%
Total 70.3 90.2 -22%
Net profi t attributable to the Group
(millions of euro) 30/06/2017 30/06/2016 Variation
Plant Making 41.3 76.6 -46%
Steel Making 9.2 11.7 -21%
Total 50.5 88.3 -42%

Gross operating margin (EBITDA) is a measurement used by the issuer to monitor and evaluate the performance of operations, and represents the operating profi t before depreciation and amortization of fi xed assets and net writedowns of receivables (since this is not specifi ed in IFRS principles it may not be fully comparable with other entities that used other calculation criteria). The normalized Gross Operating Income (adjusted EBITDA) does not include non-recurring charges and costs amounting to 22.5 million euro incurred during the year in connection with restructuring, reorganization and/or problematic one-time projects that will not be repeated in the next fi scal years.

The Board of Directors has acknowledged the results for the 2016/2017 fi scal year, pointing out that the performance of both the Plant Making and Steel Making segments – and the large amount of orders – lead us to forecast positive results for next year without being conditioned by any additional extraordinary restructuring charges.

Worldwide prospects for the metals producing sector that affect Danieli's Plant Making business

In the fi rst half of 2016, world steel production was almost 836 million tons, reporting an approximate 4.5% increase over the same period in 2015, which had reached a total of approximately 1,610 million tons over the 12-month period.

Forecasts for 2017 point to an overall increase of around 3.5-4.0%, with Asia (driven by China and India) showing a 5% increase, and advanced and emerging countries showing a smaller growth rate of about 3.0-3.5%.

The steel market therefore improved in 2017 and is expected to stabilize further in 2018, although we feel we are in a "New Normal" phase similar to the one that occurred in the years 1970-2000 that could last for 10 years or more.

Steel makers worldwide are placing more attention on running their plants using innovative solutions and the green steel technologies that are available, thereby reducing both greenhouse gas emissions and energy consumption per ton, resulting in zero waste for socially sustainable and effi cient production for the community and the environment.

The research and technological development implemented by Danieli in the last decade have enabled us to expand the range of plants supplied to the entire metals sector (steel, aluminum and other metals) signifi cantly lowering the cost of the initial investment of each project (CAPEX), while also optimizing operating expenses (OPEX), combining several work stages into a single processing line, and widening the number of potential investors thanks to investments that are more economically feasible in countries with mature economies as well as in developing countries.

To remain competitive in a "New Normal" market, Danieli has invested in technologies that always promote customer centricity while boosting plant productivity as well as per capita value added. The DIGIMET project applies the principles of the 4.0 revolution in the steelmaking industry to guarantee total control of production variables with respect to the creation/start-up of plants and also to speed up the production processes, reducing costs and optimizing the effi ciency of steel production.

Strategies

Below are some of Danieli's mottos:

— "Passion to innovate and perform" but also "We do not shop around for noble equipment". The Danieli Group will continue to consolidate and expand its business in order to be more competitive in terms of innovation, technology, quality, costs, productivity and customer service. Not only is Danieli known for its capabilities in the supply of plants but also for its

manufacturing know-how: in Europe for its noble and high-tech products, in Asia for the design and manufacture of consolidated, proven products made with the same quality as those in Europe.

— "A step ahead" which aims to set up a new organizational model for the Group, promoting multicultural intellectual growth and creating solutions to meet current market requirements more effectively In particular, in order to consolidate these strategies, the company plans to expand the Danieli Academy to train junior employees, provide refresher courses for senior staff, and make the most of talented youths. As we are convinced that the New Normal period will last for at least 5 years, we consider the drop in investments in new plants as an established fact, a drop that will be offset by the revamping of existing plants and services. But this is not enough. More innovation and downstreams are needed, and we are working on a vision in this respect in the medium-long term.

Order Book

The Group's order book is well diversifi ed according to geographical area and product line, and for the year ended June 30, 2017, amounts to 2,532 million euro (of which 375 million euro in the production of special steels) compared to 2,814 million euro for the year ended June 30, 2016 (of which 162 million euro for special steels).

The recognized strategic role of the metals industry as well as its multiplying effect on employment and the development of the manufacturing industry generally continues to drive this sector through investments in innovative plants in both developing countries and in those with mature economies.

Human resources

As of June 30, 2017, the Danieli Group employed 8,959 people - 1,420 in the Steel Making segment and 7,539 in the Plant Making segment, a decrease of 460 over the figure of 9,419 for the year ended June 30, 2016. In the period Danieli completed the reorganization of human resources at its facilities in India, Thailand and China, which in any event still make up 35% of the Group total, since Asia produces about 55% of all the steel in the world. Danieli continues to pursue innovation, efficiency and quality of customer service at a fast pace, promoting team excellence, which is taking on an increasingly important and strategic role for the success of the company. Consequently, this confirms the importance of carefully managing and making the most of the potential and aptitude of people in order to ensure that the Group's training programs are in line with the best practices.

Consolidated Value Added

The economic value that is generated converts the Group's ability to create wealth and distribute it as remuneration for the stakeholders. The tables below show how economic value is distributed among stakeholders through the reclassifi cation of data from the consolidated income statement.

Total value added is divided among the following benefi ciaries, where personnel (direct remuneration comprising salaries, wages, employee termination indemnity and indirect remuneration in the form of social security contributions) and the Public Administration (income taxes and other taxes) cover almost 88% of the total, while the remaining 12% includes venture capital (dividend distribution), third parties (non-controlling interests), company remuneration (reinvested earnings), remuneration to lenders (interest on loans) and donations and sponsors (sponsorships, donations and other forms of contribution).

The Chairman of Danieli's Board of Directors and his executive directors confi rm the company's commitment to augmenting its Corporate Responsibility towards the global community, not only directly but also indirectly, by promoting the research and development of steelmaking equipment and machines using Green Steel and Sustainable Steel solutions, thereby improving effi ciency, safety and reducing waste as well as the impact of GHG for the protection of the environment.

Danieli also took part in the Carbon Disclosure Project (CDP), and in 2016 was one of the most worthy Italian and European companies, showing a marked improvement in classifi cation thanks to our increasing commitment to developing innovative, environmentfriendly solutions for our customers.

The CDP Climate Change initiative helps more than 800 institutional investors identify from among thousands of corporations the ones that are the most motivated to grow sustainably by managing the effects of climate change on their businesses.

Resolutions of the Board of Directors

The Board of Directors, in addition to approving the fi nancial statements, will propose to the assembly of shareholders, who following a single call will meet at company headquarters on October 27, 2017 at 2 p.m., the distribution of a unit dividend of euro 0.10 for ordinary shares and euro 0.12 for saving shares, for a total of euro 8,195 upon detachment of coupon n.39 – for both categories of shares – on November 6, 2017, payable as of November 8, 2017 (record date: November 7, 2017).

The Board of Directors proposes a dividend that is still low and unchanged from last year in order to keep making signifi cant investments in research and innovation for the purpose of developing new products and specifi c technologies for the current "New Normal" of the steel market.

The Board of Directors has noted that in the last 10 years, as much as 86% of profi ts has been invested back into the company, not only to maintain its fi nancial solidity but also to invest in new plants and innovation.

The Board of Directors has also appointed Giacomo Mareschi Danieli executive director, who will be working with Alessandro Trivillin, and appointed Camilla Benedetti Vice-President of the company.

Total global value added

(millions of euro) 30/06/2017 30/06/2016
A. Revenues/ Value of production 2,490.9 2,493.4
B. Intermediate production costs 1,986.4 1,952.0
(A - B) Core global value added 504.5 541.4
C. Ancillary components 0.5 23.0
Total Value Added 505.0 564.4

Distribution of total value added

(millions of euro) 30/06/2017 30/06/2016
A. Personnel remuneration 425.1 84.2% 443.8 78.6%
B. Public administration remuneration 20.9 4.2% 23.5 4.2%
C. Venture capital remuneration 8.2 1.6% 8.2 1.5%
D. Third party remuneration (0.4) (0.1%) (0.3) (0.1%)
E. Company remuneration 42.3 8.4% 80.1 14.2%
F. Lender remuneration 7.7 1.5% 7.7 1.4%
G. Donations and sponsorships 1.2 0.2% 1.4 0.2%
Total Value Added 505.0 100.0% 564.4 100.0%
Consolidated statement of assets and liabilities (*)
(millions of euro) 30/06/2017 30/06/2016
Assets
Non-current assets 1,157.4 1,183.7
Current assets 3,654.5 4,149.4
Total Assets 4,811.9 5,333.1
Liabilities and Shareholders' Equity
Share capital 81.3 81.3
Other reserves and profi ts
carried forward, including profi t
for the year
1,737.2 1,695.2
Group shareholders' equity 1,818.5 1,776.5
Non-controlling interests (0.7) 0.6
Non-current liabilities 250.2 503.7
Current liabilities 2,743.9 3,052.3
Total liabilities
and shareholders' equity
4,811.9 5,333.1
Consolidated income statement (*)
(millions of euro) 30/06/2017 30/06/2016
Revenues 2,490.9 2,493.4
Raw materials and consumables (1,233.9) (1,204.5)
Personnel costs (425.1) (443.8)
Other operating costs (631.3) (633.6)
Amortization, depreciation
and write-downs
(130.4) (121.3)
Operating income 70.2 90.2
Financial income/(charges) 0.8 (0.6)
Profi t (loss) from foreign currency
transactions
(7.3) 17.3
Income from valuation
of shareholdings in affi liates according
to the net equity method
(0.7) (1.3)
Profi t (loss) before taxes 63.0 105.6
Income Taxes (12.9) (17.6)
Net profi t for the period 50.1 88.0
(Profi t) loss attributable to non
controlling interests
0.4 0.3
Net profi t attributable to the Group 50.5 88.3
Consolidated net fi nancial position
(millions of euro) 30/06/2017 30/06/2016 Variation
Current fi nancial assets
- Securities and other fi nancial receivables 557.1 456.1 101.0
- cash at banks 1,078.5 1,389.5 (311.0)
Total current fi nancial assets 1,635.6 1,845.6 (209.0)
Non-current fi nancial liabilities
- bank debts 159.0 410.0 (251.0)
Total non-current fi nancial liabilities 159.0 410.0 (251.0)
Current fi nancial liabilities
- bank debts and other fi nancial liabilities 564.1 527.4 36.7
Total current fi nancial liabilities 564.1 527.4 37.7
Non-current net fi nancial position (159.0) (410.0) 251.0
Current net fi nancial position 1,071.5 1,318.2 (246.7)
Net positive fi nancial position 912.5 908.2 4.3

Danieli Group Operations

The Danieli Group essentially runs two main businesses: the fi rst (Plant Making) is in the fi eld of engineering and manufacture of plants – including turnkey plants – for the production of metals. Its principal operating companies in the Plant Making segment are in Europe (Italy, Sweden, Germany, France, Austria, The Netherlands, the United Kingdom, Russia, Spain) and in Asia (China, Thailand, India, Vietnam), with service centers in the US, Brazil, Egypt, Turkey and Ukraine.

In the Plant Making sector Danieli is one of the top three manufacturers in the world for metal making plants and machines, leader in meltshops and plants for the production of long products (these plants produce steel in electric arc furnaces – including from direct reduced iron – and in addition to being competitive in terms of Capex and Opex, are also environment-friendly, compared to integrated plants that use blast furnaces and coke), and second in the manufacture of plants for fl at products. The second business (Steel Making) concerns the production of special steels through the companies of Acciaierie Bertoli Safau S.p.A. (ABS), ESW Röhrenwerke GmbH and ABS Sisak d.o.o. The steels produced in these facilities supply the automotive industry, heavy-duty vehicles, engineering, energy and petroleum industries. ABS is the number one steelmaker in Italy and among the leading ones in Europe in its fi eld.

In Friuli-Venezia Giulia the Danieli Group provides employment for about 6,000 people, either directly or through linked industries, and represents almost 40% of the yearly exports of the province of Udine, and 20% of those of the region of Friuli.

Also as regards the welfare of its employees (in particular, but not only), in addition to a nursery school which has already been operating for some years now, this year the Group has opened up a primary school which is considered educationally well ahead of traditional teaching methods.

Attached are the statement of assets and liabilities, the income statement (excluding the overall income statement), and the consolidated fi nancial position of the Danieli Group for the period ended June 30, 2017, compared with the data for the period ended June 30, 2016.

Managing Board

GIANPIETRO BENEDETTI Chairman

ALESSANDRO TRIVILLIN Company Culture and Human Capital Management, Long Products, Manufacturing, Supply Chain and Logistics, Customer Service

GIACOMO MARESCHI DANIELI Danieli Plant Engineering, Guidelines for Technical Sales and Customer Satisfaction, Costing, Information Technology, General Services

WERNER AUER Flat Products, Danieli Germany, Danieli Linz Technology, Danieli Corus Technical Services

MARCO DI GIACOMO Group Technical and Commercial Sales, Macroplanning

DARIO FABRO Danieli Construction, Advisory Services and Erection, Large projects

ROLANDO PAOLONE Group Technical Director, Danieli Research Center, Process Automation, Products Competitiveness

ALESSANDRO BRUSSI Finance and Administration

LUCA FERRARESI Industrial Accounting and Group Internal Audit

Executive Staff

Human Resources S. Stafi sso, C. Benedetti,

— Danieli Academy, Junior Selection and Follow-up, Kindergarten and Primary School P. Perabò

Finance, Administration, Contracting, Controlling A. Brussi, L. Ferraresi

— Administration, Controlling A. Deana, M. Marinutti

— Finance and Contracting A. Brussi, A. Mareschi Danieli, R. Grosso

— Legal Affairs F. Londero

— Internal Audit L. Ferraresi

Information Technology A. Stewart, M. Cappa

Danieli Product Lines and Customer Service

Group Technical Sales, Key Account Management, Marketing, M. Di Giacomo, G. Ximeris, G. Mareschi Danieli, A. Diasparro

Costing, Macroplanning G. Mareschi Danieli, E. Parisi, M. Chiandetti

Research Center R. Paolone, G. Marconi

Danieli Plant Engineering M. Pitton, G. Mareschi Danieli

Technical Sales and Project Directors

M. Pitton, G. Mareschi Danieli, G. Ximeris, G. Nigris, D. Fabro, L. Lusina, L. Tambosco, R. Pezzano

Danieli Engineering Products

G. Mareschi Danieli, M. Pitton, A. Di Giacomo

Danieli Centro Metallics

— Iron ore / Pelletizing / DR Plants A. Di Giacomo, A. Martinis

Danieli Environment and Systems

— Ecological and Recovery Systems F. Casarsa, A. Tellatin

Danieli Centro Cranes

— Heavy-Duty Cranes / Automated yards L. Argiolas, A. Vrech

Danieli Hydraulics

— Industrial Hydraulic and Lubrication Equipment C. Benini, C. A. Gadda

Danieli Epc and Site Management Services D. Fabro, A. Lombardi

Danieli Construction International Spa S. Baici, E. Gardina, G. Furino, A. Di Minin

Fata EPC (Italy) A. Lombardi, S. Pagani

Advisory Services for Plant Startup and Commissioning I. Grgic, P. Saccuman, A. Todisco

Danieli Automation and Digi&Met 4.0

A. Mordeglia, A. Ardesi, A. Brussi, S. Stafi sso, A. Todisco, M. Ometto

Danieli Automation Spa

A. Mordeglia, A. Ardesi, A. Todisco, M. Ometto, E. Plazzogna, E. Gigante, A. Mestroni, G. Brunetti, S. Martinis, F. Perotti, G.B. Vallarino, R. Guido, R. Poboni, S. Vasinis

Digi&Met 4.0 A. Mordeglia, M. Ometto

Danieli Rotelec (France) F. Guastini, P. Declerc

Danieli Taranis LLC (USA) A. Nardone, W. Dow,

C.J. Feather

Danieli Systec Doo (Croatia) S. Stafi sso, A. Todisco, R. Košmerl

Elsid Cheda Ltd (Russia) E. Cuzzot

Danieli Automation Co Ltd (Thailand) M. Oliviero

Danieli Teleobot Labs Srl (Italy) D. Corsini, F. Becchi

Danieli Customer Service

E. Brusini, M. Zanco

Technical Service and Spare Parts

A. Vallan, P. Bahadian Bardy, G. De Lorenzo, A. Donadon, M. Padovan, K. Shillam, A. Zanon, A. Viviani

Danieli Corporation

(USA, Canada) — Marketing, Engineering, Project Management, Site Assistance, Service P. Losso, L. Rossetto, F. Palagiano, A. Voltolina

Danieli Mexico (Mexico)

— Service, Sales, Marketing, Project Management M. Di Giacomo, G. Nigris, A. Vallan

Danieli Do Brasil Ltda (Brasil)

— Service, Marketing, Engineering, Project Management, Site Assistance L. Mottes, W. Souza, F. Turibio

Danieli Engineering and Services

Austria GmbH (Austria) — Service, Marketing, Engineering, Site Assistance M. Di Giacomo, S. Bergamasco, G. Ranc

Ironmaking and Converter Steelmaking W. Auer, P. Zonneveld

Danieli Corus Technical Services

BV (The Netherlands) — Blast Furnace and Oxygen Steelmaking Technologies W. Auer, G. Apeldoorn, F. Van Gool, P. Zonneveld

Danieli Linz Technology (Austria)

— Converter Steelmaking Plants W. Auer, G. Staudinger, C. Trungadi

Electric Steelmaking, Continuous Casting R. Sellan, L. Morsut

Danieli Centro Met (Italy)

— Electric Meltshops / Billet, Bloom, Beam blank casters / Slab casters P. Burin, A. Carboni, D. Lestani, A. Della Vedova, M. Knights H. Koblenzer, A. Sgrò, M. Massimo

More Srl (Italy)

— EAF Special technologies L. Londero, M. Iacuzzi

Danieli Centro Recycling (UK, Germany, France)

— Scrap Recycling Technologies G. Carnelutti, A. Betts,

G. Lovadina

Danieli Procome Iberica SA (Spain)

— Charging systems for EAF, DRP and Pelletizing Plants G. Nigris, A. Aldama

Long Products F. Mulinaris, L. Crespan

Danieli Morgårdshammar (Italy)

— Bar, Wire rod Mills, Heavy Bar / Section Mills I. Danielis, C. Tomat, C. Fabbro, M. Occhipinti

Sund Birsta AB,

Morgårdshammar AB (Sweden)

— Long Product Rolling Mills for Special Steels, Binding and Handling systems for Bars, Wire Rod, and Hot / Cold Flat Products P. Marstedt, O. Englund

Danieli Centro Maskin (Italy)

— Inspection and Conditioning Plants, Cold Finishing Lines, Aluminium and Copper Wire Rod Lines L. Crespan, F. Mulinaris

Flat Products

W. Auer, H. Hödl, L. Sandrin

Danieli Wean United, Danieli Fata Hunter (Italy)

— Hot and Cold Rolling / Processing Lines / Aluminium Hot and Cold Rolling Mills and Stretchers S. Berger, C. Bilgen, M. Bulfone, D. De Bella, S. Dolzan, R. Holz, I. Koshyk, A. Coari, T. Settimo, A. Tropeano, M. Turchetto, L. Vignolo

Danieli Kohler (USA)

— Air Wiping Equipment G. Kohler, M. Turchetto

Innoval Technology Ltd (UK)

— Process Technology and Advisor Services for Aluminium Flat Product Mills T. Farley, G. Mahon

Danieli Germany GmbH

(Germany) — Flat Products Rolling / Metallurgical Engineering for Final Applications W. Auer, J. Schröder

Danieli Fröhling (Germany)

— Cold Rolling Mills and Strip Processing Lines for Specialty Steel and Non Ferrous Materials M. Kotas

Forging, Extrusion, Seamless and Welded Pipes, Heating, Heat Treatment A. Ceretti, M. Totis

Danieli Centro Tube (Italy)

Danieli W+K (Germany, Italy) — Seamless Pipe Mills, Welded Pipe Mills C. Bartolini, E. Cernuschi, S. Bettinelli, G. Grandi

Danieli Centro Combustion Spa

Danieli Olivotto Ferrè (Italy) — Heating Systems — Heat Treatment Furnaces F. Pere. A. Donetti

Danieli Breda (Italy)

— Extrusion and Forging Presses C. Bartolini, A. Galli, P. Fraternale

Danieli Asia

G. Mareschi Danieli, D. Ambrosino, A. Menocci, G. Ximeris, L. Ferraresi, L. Coianiz, J. Geng, F. Esposito, G.S. Rao, B. Mockmongkonkul,

Danieli Metallurgical Equipment & Services Co Ltd (China)

— Engineering, Project Management, Site Management, Manufacturing and Service for Danieli Products L. Coianiz, J. Geng, D. Ambrosino, D. Wysota, P. Golini, J. Guo, J. Li, C. Zhang, E. Copetti, P. Saccavini

Danieli Co Ltd (Thailand and Vietnam)

— Engineering, Project Management, Manufacturing and Service for Danieli Products, Hydraulics, Pressure Vessels A. Menocci, B. Mockmongkonkul, S. Giacomelli, D. Ambrosino, G. Charoenvananatee, M. Rinaldis, T. Nammisa, D. D'Odorico, F. Rocchetti, N. Nakamura, G. Schneider, M. Rovere

Danieli India Ltd (India)

— Engineering, Project Management, Site Management, Manufacturing and Service for Danieli Products F. Esposito, G.S. Rao, B. Ghosh, A. Todisco, J. Saroj, S. Banerjee,

S. Sandeep, V.Vivek

Danieli Engineering Japan Ltd (Japan)

— Engineering and Service A. Mordeglia, N. Nakamura

Manufacturing, Procurement and Logistic

G. Del Fabbro, A. Trivillin

—Worldwide Manufacturing G. Del Fabbro, G. Bobbio

— Worldwide Procurement and Logistic A. Trivillin, E. Copetti, P. Menta, G. Cruder, G. Furino, C. Pittini, M. Del Giaccio, R. Staffa,

G. Cavone

— Buttrio Workshops

  • M. Iacuzzi, M. Finco, C. Pittini,
  • M. Marega, D. Cosofret,

D. Barazzutti, L. Littamè

  • Quality Control
  • R. Balestra, P. Pirioni

Danieli Volga LLC (Russia)

— Marketing, Service, Engineering, Project Management, Manufacturing A. Colussi, A. Londero, G. Del Fabbro, I. Doro, A. Muroni

Termo Makina San. V.T.A.S. (Turkey)

— Sales, Marketing, Service, Cranes and Meltshop Equimpent Manufacturing G. Del Fabbro, A. Brussi, T. Yilmaz

Danieli Plantmaking The Team

Danieli Plant Engineering Since 1964 Italy Turnkey Plants and Systems Engineering
Danieli Fata EPC Since 1965 Italy, USA, India, China, UAE Turnkey Plant Engineering, Procurement, Construction
Danieli Automation Since 1969 Italy, USA Process Control Systems
Danieli Centro Metallics Since 1987 Italy Ore Processing and Direct Reduction Plants
Danieli Corus IJmuiden Since 1977 The Netherlands Integrated Steelmaking Plants
Danieli Linz Since 2011 Austria Oxygen Converter Steelmaking Plants
Danieli Centro Recycling Since 1998 Italy, UK, France, Germany Scrap Processing Plants
Danieli Centro Met Since 1914 Italy, Austria Electric Steelmaking and Long Product Casters
Danieli Davy Distington Since 1951 UK, Italy Thick and Thin Slab Casters
Danieli Wean United Since 1901 Italy, USA, Germany Flat Product Rolling Mills and Strip Processing Lines
Danieli Kohler Since 1959 USA, Italy Air Wiping Equipment for Zinc Coating
Danieli Fröhling Since 1947 Germany Specialty Mills and Strip Finishing Lines
Danieli Fata Hunter Since 1936 Italy, USA Aluminium Casting, Rolling, and Coil Coating Lines
Danieli Morgårdshammar Since 1856 Italy, Sweden Long Product Rolling Mills
Danieli Centro Tube Since 2004 Italy Seamless Pipe Plants
Danieli W+K Since 1968 Germany, Italy Longitudinal and Spiral Welded Pipe Plants
Danieli Centro Maskin Since 1953 Italy, Sweden Conditioning, Drawing, and Finishing Plants
Danieli Rotelec Since 1977 France, Italy EMS and Induction Heating Systems
Danieli Hydraulics Since 2008 Italy, Thailand Industrial Hydraulic and Lubrication Equipment
Danieli Breda Since 1950 Italy Extrusion and Forging Plants
Danieli Centro Combustion Since 1981 Italy Heating Systems
Danieli Olivotto Ferrè Since 1927 Italy Heat Treatment Furnaces
Danieli Centro Cranes Since 1958 Italy Heavy-duty Cranes
Danieli Environment and Systems Since 1973 Italy Green Technology and Systems
Danieli Construction Since 2003 Italy, Thailand Turnkey Construction, Erection, and Systems Engineering
Danieli Service Since 1962 Italy, Austria, China, India,
Russia, USA, Brazil, Thailand
Technical Service and Original Spare Parts

14 DANIELI YEAR 2017

Danieli Team mission is to serve Customers with competitive plant and process technology/automation to produce quality at the lowest depreciation and production cash costs and offer friendly after-sale service involving top-specialized engineers. The technology spectrum -from ore to fi nished product- and relevant process know-how provided by our Product Lines, the well-known tendency towards innovation and high reliability are the best guarantees in reaching this target.

Danieli Plantmaking The Team

More than 25 divisions, each one staffed by individuals with specifi c technical capabilities, and bringing long and notable legacies from their own countries form a multicultural, multilingual team that helps us to establish the best relationships with our customers around the world.

DANIELI AUTOMATION Process Control Systems / Since 1969

With more than 40 years of experience focused on metals worldwide, Danieli Automation is your technological partner for production management, process and equipment control, advanced instrumentation, and state-of-the-art electrical solutions.

DANIELI PLANT ENGINEERING Turnkey Plants and Systems Engineering / Since 1964

We supply integrated plants for the metal industry, including technologies, auxiliary plants, construction, and after-commissioning assistance. We provide customers with a single-point responsibility, ensuring project delivery time assurance and total investment cost certainty.

DANIELI FATA EPC Turnkey Plant Engineering, Procurement, Construction / Since 1965

Danieli Fata EPC operates in the fi eld of plant engineering, procurement and construction, providing customized, state-of-the-art technology and enviromentally consistent solutions for primary aluminium smelters, downstream aluminium projects, oil & gas, power generation plants.

DANIELI CENTRO METALLICS Ore Processing and Direct Reduction Plants / Since 1987

With more than 50 years of research and experience in design, construction, commissioning and operation of iron ore processing and direct reduction plants, we supply any type and size of DRI based minimills.

The Netherlands

DANIELI CORUS IJMUIDEN Integrated Steelmaking Plants / Since 1977

Danieli Corus has fi rm roots in IJmuiden, where steel production started in 1924 and quickly developed towards world benchmark for Blast Furnace ironmaking and BOF steelmaking.

DANIELI LINZ Oxygen Converter Steelmaking Plants / Since 2011

Danieli Linz Technology is a steelmaking center of competence, where proven oxygen converter specialists interact with experts on sublance systems, process models, and technological packages, as well as with the pioneering Danieli R&D Researchers.

DANIELI CENTRO RECYCLING Scrap Processing Plants / Since 1998

Danieli Centro Recycling is the innovative team to meet new challenges in the design and construction of advanced recycling plant technology, giving added value to scrap, and focusing on the needs and requirements of aiming for zero environmental impact.

DANIELI CENTRO MET Electric Steelmaking and Long Product Casters / Since 1914

The constant evolution of technical and process knowhow through signifi cant investments in R&D as well as synergies and cooperation with our customers have made Danieli Centro Met a worldwide leading supplier of electric steelmaking plants.

DANIELI DAVY DISTINGTON Thick and Thin Slab Casters / Since 1951

Danieli Davy Distington pioneered continuous casting technology and today, through continuous innovation, is world's leader in the design and manufacture of advanced continuous slab casters.

DANIELI WEAN UNITED Flat Products Rolling Mills and Strip Processing Lines / Since 1901

Over the course of its long history Danieli Wean United has developed a thorough knowledge together with a well-earned experience in the downstream processing of the hot/cold rolled steel and strip processing lines.

DANIELI KOHLER Air Wiping Equipment for Zinc Coating / Since 1959

Danieli Kohler is world leader in the supply of highly technological equipment, with more than 150 installations in molten metal coating lines of all types.

DANIELI FRÖHLING Specialty Mills and Strip Finishing Lines / Since 1947

Danieli Fröhling is well known all over the world as a manufacturer of machines of the highest quality for rolling and processing of non-ferrous metals, not simply satisfying its demanding customers but rather inspiring them by continuously extending technical limits.

DANIELI FATA HUNTER Aluminium Casting, Rolling, and Coil Coating Lines / Since 1936

Danieli Fata Hunter is one of the world leaders in implementing single equipment as well as complete turnkey plants for the aluminium fl at rolled product industries and for steel and stainless steel processing industries, with a comprehensive ability and know-how for all production ranges.

DANIELI MORGÅRDSHAMMAR Long Product Rolling Mills / Since 1856

We believe in what we build day by day and we are what we produce.

This is written in our DNA since 1856. From bigger to smaller, from heaviest to longer, from smaller to faster, simply undisputable features in the metals industry.

DANIELI CENTRO TUBE Seamless Pipe Plants / Since 2004

Through a highly qualifi ed and long lasting experienced engineering team, Danieli Centro Tube designs, manufactures and supplies technologically-advanced complete plants and equipment for the hot rolling and cold fi nishing of high-quality seamless pipes.

DANIELI W+K Longitudinal and Spiral Welded Pipe Plants / Since 1968

Danieli W+K is a strong, reliable and competent partner for the pipe and tube industry. It develops customer-orientated individual solutions not only with upcoming modernization projects and the delivery of single plant components but also with the installation of a complete turnkey pipe plant.

Italy, Sweden

DANIELI CENTRO MASKIN Conditioning, Drawing and Finishing Plants / Since 1953

Danieli Centro Maskin is a reliable and innovative partner for challenging new goals in the design and construction of advanced grinding, drawing, peeling and cold fi nishing lines for sbq bars.

France, Italy

DANIELI ROTELEC Ems and Induction Heating Systems / Since 1977

Danieli Rotelec is a leading company in the manufacture of electromagnetic stirrers for conticasters and induction bar edge heaters for hot strip mills, offering a unique combination of metallurgical process know-how, and expertise in designing/selfmanufacturing of equipments.

DANIELI HYDRAULICS Industrial Hydraulic and Lubrifi cation Equipment / Since 2008

Thanks to the expertise and know-how gained in the steel industry, Danieli Hydraulics can provide any stage of engineering, production and commissioning process also for other markets, such as oil & gas, mining, paper industry, cement industry, hydro-power, tools machine, marine, etc.

DANIELI BREDA Extrusion And Forging Plants / Since 1950

For well over 50 years Danieli Breda has been recognized as one of the world's front-runners in the design, manufacture and supply of machines and integrated plants for processing ferrous and nonferrous materials in the fi eld of extrusion and forging technology.

DANIELI CENTRO COMBUSTION Heating systems / Since 1981

Equipment is bespoke to suit the needs of each client and includes cutting-edge technologies which concentrate on environmentally friendly solutions. A well-established network of after sales services guarantees equipment supplied, regardless of different feedstocks; billets, blooms, beam blanks, slabs or pipes, etc.

DANIELI OLIVOTTO FERRE' Heat Treatment Furnaces / Since 1927

With over 800 references, Danieli Olivotto Ferre' is able to supply a wide range of economic and sustainable heating solutions and modern heat treating furnaces covering a whole range of appliances and services for the metals industry.

DANIELI CENTRO CRANES Heavy-Duty Cranes Since 1958

Design and supply of cranes and lifting systems for the heavy industry and logistics, with dedicated solutions for lifting and handling of materials and equipment in the most severe conditions. Our products are designed to operate where reliability, safety, and cost-effective solutions are a must.

DANIELI ENVIRONMENT AND SYSTEMS Green Technology and Systems / Since 1973

A division that specializes in environmental protection, offering a full range of proprietary technologies for air pollution control, water treatment, energy saving, energy recovery, solid waste recovery, and noise reduction.

DANIELI CONSTRUCTION

Turnkey construction, erection and systems engineering / Since 2003

Danieli Construction International operates worldwide with own handling and transportation equipment and through specialized and trained people covering a full range of services related to Civil and MEIP (Mechanical, Electrical, Instrumentation, Piping) installations for industrial plants.

DANIELI SERVICE Technical Service and Original Spare Parts / Since 1962

Always close to our partners. Counting on Danieli Service support means becoming more than just a customer: it means becoming a partner in the strategic challenges requested by market developments, so as to be always a step ahead in CapEx and OpEx.

From top left to right: Contract signing for the new benchmark for wire rod mills at Acciaierie di Verona, Italy; Signing ceremony for the MES-Manufacturing Execution System solution at OMK Vyksa Steel Works, Russia; Offi cial Opening of the new double-coat continuous coil coating line for steel at Steel Dynamics' facilities in Columbus (MS), USA; Signing of the contract for the design, supply and supervision of four greenfi eld blast furnaces for the

Dung Quat steelmaking complex project of Hoa Phat, Vietnam; The proud joint team that carried out the plant commissioning at Vallourec Deutschland's Rath Pilger Mill Complex, Germany; Souvenir photo at Acciaierie Venete, Italy, following the contract signing for an ultramodern SBQ bar mill featuring "The Drawer", a Danieli drawing/sizing block to produce bars with excellent dimensional tolerances.

New orders The market continues to place its trust in Danieli with a series of orders covering the entire spectrum of technologies provided by the Group's Product Lines.

Three 6-strand billet casters and two high-speed rolling mills for bars and wire rod.

Reline of Blast Furnace No.1, based on cast iron staves according to the "Hoogovens" Cooling and

HOA PHAT STEEL, VIETNAM

Lining design.

MMK, RUSSIA Reline project of Europe's largest Blast Furnace (BF No. 5; 5,055 m3 working volume).

High-tech, 700,000-tpy, two-strand wire rod mill plus a six-strand billet

SEVERSTAL, RUSSIA

conticaster.

ITALY

450,000 tpy hot-dip galvanizing line for construction-grade steels. Tinplate Complex.

JSW, INDIA

Four greenfi eld 1,080 m³ blast furnaces for a 4-Mtpy steelmaking complex.

HOA PHAT STEEL, VIETNAM

Wide plate mill complex for stainless and special steels and special alloys.

Full-scale 1.2-Mtpy wide plate mill modernization

MIDHANI, INDIA

project.

JSW, USA

450,000-tpy bar mill for SBQ grades, featuring the new 4-roll Drawing/Sizing mill.

ACCIAIERIE VENETE, ITALY

200,000 tpy of rebars, complete with auxiliaries.

LAS LOMAS, BOLIVIA

1.4-Mtpy bar mill, complete with EOT cranes

EGYPT

Major revamping of a slab caster, with application of a series of the latest technological packages.

ARCELORMITTAL TUBARÃO, BRAZIL

Complete, integrated extrusion complex for high-alloy steel tubes, with 45-MN extrusion press and 15-MN expansion press.

RATNAMANI METALS & TUBES, INDIA

18-MN aluminium plate stretcher. Modernization of cold mill No. 2. New fi ltering and fume treatment systems.

ALRO, ROMANIA Endless Welding Rolling system + Spooler line. 600,000-tpy rebar mill.

STEEL DYNAMICS, USA

Six-high Cold Rolling Mill and a heavy gauge slitting line.

LOGAN ALUMINIUM, USA

Nanomill to produce

ACCIAIERIE DI VERONA,

and auxiliary plants. SUEZ STEEL,

Plant startups An intense and productive collaboration with the customer throughout the project is essential to ensure that all requirements are carefully considered, thus laying the foundation for a successful execution and for a fast startup.

Startup of the Rolling Mill No. 1 as part of a 2-Mtpy minimill for long products supplied on a full lump sum turnkey basis.

AQS, ALGERIA Startup of an aluminium cold rolling line and a tension leveling line in one of the most modern aluminium rolling plants in Europe.

Final acceptance for a 500-mpm recoiling line and for a 400-mpm slitting line for copper alloy strip.

EUROMETAL, POLAND

KMD HENAN, CHINA

Successful installation and commissioning of a 250,000-tpy double-coat coil-coating line.

STEEL DYNAMICS, USA

Final acceptance of a 70,000-tpy slitting line for aluminium strip, running at speeds of up to 800 mpm.

HENAN ZHONGFU, CHINA

Six-month record time startup of a 1.2-Mtpy Cold Mill Complex comprised of a continuous pickling line, two cold rolling mills, a galvanizing line, and a color-coating line.

ATAKAŞ, TURKEY

Record 8-month installation period for an innovative double-stand hot reversing mill to produce HR aluminium plate and strip, and CR sheet.

KUMZ, RUSSIA

Successful startup of a 110,000-tpy, state-of-theart color-coating line and printing line for steel strip in a variety of coatings (PUR, PVDF, EP, SP).

LYSVA METALLURGICAL PLANT, RUSSIA

Excellent restart for a three-strand conticaster for quality engineering steel blooms, extensively revamped from the tundish area up to the run-out.

XINING SPECIAL STEEL, CHINA

Early startup -1.5 months ahead of schedule- of a 450,000-tpy hot dip galvanizing line for GI products.

TOSYALI TOYO, TURKEY

Final acceptance of a three-roll cross rolling mill with unique capabilities to produce excellent premium tubes designed for the most demanding applications.

VALLOUREC DEUTSCHLAND, GERMANY

Final acceptance of the world's fi rst installation of a DQ-Direct Quenching system downstream of a plate/Steckel mill.

NUCOR TUSCALOOSA, USA

Final acceptance of a Cold Pilger Mill for zirconium tubes and bars for nuclear cladding applications with tight geometric tolerances at high production rates.

NUCLEAR FUEL COMPLEX, INDIA

Final acceptance of a H3 wire rod mill producing 600,000-tpy of engineering steels at speeds of up to

ABINSK ELECTRIC STEEL

110 mps.

WORKS, RUSSIA

Startup of a 350,000-tpy hot slab grinding plant for stainless steel slabs, made up of two units with main and edge grinders.

FUJAN FUXIN STAINLESS, CHINA

Successful startup of an electric steel meltshop producing 650,000-tpy of LC-MC steel billets to feed an existing Danieli bar mill.

GERDAU, ARGENTINA

DANIELI HEADQUARTERS

DANIELI WORLDWIDE

AUSTRIA

Max Planck Strasse, 5 A - 9100 Völkermarkt Tel. (43) [email protected]

EGYPT

76 Al-moltaka Al-Arabi Dist 11799 Sheraton Zone, Heliopolis, Cairo Tel. (20) [email protected]

GERMANY

Scherl 12 D-58540 Meinerzhagen Tel. (49) 2354.70820 [email protected]

JAPAN

42F, Yokohama Landmark Tower 2-2-1, Minatomirai, Nishi-ku, Yokohama-City 220-8142 Japan Tel. (81) 45.651.7077 [email protected]

MEXICO

Edifi cio Sierra Madre Ave. Vasconcelos Oriente 310 Colonia del Valle 66250 Garza Garcia, N.L. Tel. (52) 81.83781055 [email protected]

SPAIN

Poligono Sondikalde Calle Portu Bidea, 2 48150 Sondika - Vizcaya Tel. (34) 94.4872800 [email protected]

TAIWAN

26F-1, No. 31 Hai-Bian Road Kaohsiung City, Taiwan 802 Tel. (886) 7.3358655 [email protected]

TURKEY

  1. OSB lstiklal Mahallesi 1. Cadde No. 15 Beykoy - Duzce Tel. (90) 3805537110 [email protected]

USA

600 Cranberry Woods Drive Suite 200 Cranberry Township, PA 16066 Tel. (1) 724.7785400 [email protected]

BRAZIL

Via Nazionale, 41 33042 Buttrio (UD) Italy Tel (39) [email protected]

Rua George Rexroth, 609 Diadema CEP 09951-270 Sao Paulo Tel. (55) 11.39953150 [email protected]

FRANCE

Les Mercuriales F-93176 Bagnolet Cedex Tel. (33) 1.49722269 [email protected]

IND IA

1, Hari Mohan Ghosh Road Taratala 700 091 Kolkata West Bengal Tel. (91) 33.33013777 [email protected]

KOREA

602 6th Fl., Yeondang Bldg., 439 Teheran-Ro, Gangnam-Gu, 06158 Seoul Tel. (82) 2.5626622 [email protected]

RUSSIA

Avtozavodskoe shosse 48 Nizhny Novgorod Region 606000 Dzerdzhinsk Tel. (7) 8313.310310 [email protected]

SWEDEN

Box 994 SE-85125 Sundsvall Tel. (46) 60.139400 [email protected]

THAILAND

Land Plot N. K11 The Eastern Seaboard Ind. Estate Tambol Pluakdaeng, Amphur Pluakdaeng, 21140 Rayong Tel. (66) 38.929000 [email protected]

UKRAINE

Glinky Street 2, Offi ce 301 49000 Dnipropetrovs'k Tel. (380) [email protected]

VIETNAM

Lot A4b Industrial Park Tan Thuan EPZ (E-Offi ce Park) Tan Thuan Dong Ward, District 7 Ho Chi Minh City Tel. (84) 8.35287400 [email protected]

www.danieli.com [email protected]

CHINA

No. 19, Xing Gang Road, CEDZ Changshu, Jiangsu 215513 Tel. (86) 512 52267000 [email protected]

GERMANY

Schifferstrasse 166 D-47059 Duisburg Tel. (49) 203.98567000 [email protected]

IND IA

301 C, Delta 1, Giga Space, Viman Nagar, Pune 411 014, Maharashtra Tel. (91) 20.30475000 [email protected]

KSA

Silver Tower 6th fl oor P.O. Box 4867 Al-Khobar 31952 Tel. (966) 3.8993145 [email protected]

RUSSIA

Leningradskiy Prospekt 31A Building 1, 24th Floor 125284 Moscow Tel. (7) 495.9819073 [email protected]

SWEDEN

Nya Ågatan, 23 SE-77782 Smedjebacken Tel. (46) 240.668500 [email protected]

THE NETHERLANDS

Rooswijkweg 291, 1951 ME Velsen-Noord Tel. (31) (0) 251.500500 [email protected]

UNITED KINGDOM

4 Ignite, Magna Way Rotherham S60 1FD Tel. (44) 1709.724300 [email protected]

A CENTURY OF PARTNERSHIP EXPERIENCE

ITALY GERMANY SWEDEN AUSTRIA FRANCE THE NETHERLANDS UK SPAIN RUSSIA TURKEY USA BRAZIL THAILAND INDIA CHINA JAPAN

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