SIMS LIMITED — Annual Report 2014

Aug 21, 2014

Financial ResultsFull year ended 30 June 2014

Galdino Claro, Group Chief Executive OfficerRob Larry, Group Chief Financial Officer22 August 2014

Disclaimer

Cautionary Statements Regarding Forward-Looking Information

This presentation may contain forward-looking statements, including statements about Sims Metal Management's financial condition, results of operations, earnings outlook and prospects. Forward-looking statements are typicallyidentified by words such as "plan," "believe," "expect," "anticipate," "intend," "outlook," "estimate," "forecast," "project" and other similar words and expressions.

These forward-looking statements involve certain risks and uncertainties. Our ability to predict results or the actual effects of our plans and strategies is subject to inherent uncertainty. Factors that may cause actual results or earnings to differ materially from these forward-looking statements include those discussed and identified in filings we make with the Australian Securities Exchange and the United States Securities and Exchange Commission ("SEC"), including the risk factors described in the Company's Annual Report on Form 20-F, which we filed with the SEC on 16 October 2013.

Because these forward-looking statements are subject to assumptions and uncertainties, actual results may differ materially from those expressed or implied by these forward-looking statements. You are cautioned not to place undue reliance on these statements, which speak only as of the date of this release.

All subsequent written and oral forward-looking statements concerning the matters addressed in this presentation and attributable to us or any person acting on our behalf are expressly qualified in their entirety by the cautionary statements contained or referred to in this release. Except to the extent required by applicable law or regulation, we undertake no obligation to update these forward-looking statements to reflect events or circumstances after the date of this release.

All references to currencies, unless otherwise stated, reflect measures in Australian dollars.

• Results Overview
• Regional Performance
• Financial Results
• Strategic Progress Update
• Outlook
• Appendix

Strong earnings recovery and net cash position

SlRaesev$7129m,	enue1%-
Udlineryng$242m	1EBITDA2%7
Udlineryng$119m	EBIT%77
Udlinerngy$69m	NPAT333%
Stttauory$89m-	NPAT/nm

Chfitasromoperaons$210m	29%
CNtheas$42m	/nm
Giearng(th)necas	/nm
(dilud)teUdliEPSneryng336c	336%
(diluted)StttEPSaoruy435c-	/nm

1. Underlying excludes goodwill and other intangible asset impairments, and all other significant itemsn/m = not meaningful

Progress towards 5 year strategic plan

1. EBIT target upwardly revised by $16m to account for FY14 positive currency impact

Earnings growth driven by Australia and UK Metals

Underlying EBIT of $119m, up by 77%

• North America EBIT decreased $21m over FY13 due to lower earnings from electronics recycling ("SRS") and lower sales volumes in metals recycling, impacted by severe winter weather
• Australasia EBIT increased by $33m over FY13 boosted by both stronger sales volumes and an expansion in sales margins in the Australia metals recycling business
• Europe EBIT increased $40m over FY13, due to materially improved results in UK Metals and SRS Germany, offset partially by losses in UK SRS

1. Underlying excludes goodwill and other intangible asset impairments, and all other significant items

Regional Performance

Rob Larry, Group CFO

North America Regional Results

$Am	FY14	FY13	C%hg
SlRaesevenue	4,23.55	4,34.65	(6.2)
UdliEBITDAneryng	82.9	102.1	(18.8)
UdliEBITnerngy	12.7	34.0	()62.6
SlVl()taesoumesm	8.152	9.377	(13.1)
S(%)lMiaesargn	%16.5	%15.4

Performance

• North America underlying EBITDA of $83m was lower by 19% over FY13
• Regional results impacted by 13% lower metal recycling volumes, abnormally severe winter weather and certain divestments of non-core businesses
• Lower underlying EBITDA from North America SRS due to competitive market conditions and losses in SRS Canada
• Controllable costs on a constant currency basis reduced by $48m over FY13

Strategic Progress

• Implementation of improved buying practices and divestment of underperforming businesses driving sales margins increase from 15.4% to 16.5%
• Divestiture of non-core Aerospace Metals and Birmingham, AL, Salt Lake City, UT, and Mobile, AL metals recycling assets
• Closure of SRS facilities in Edison, NJ and Dallas, TX and decision to exit the SRS Canada business
• Completion of New England expansion and New York Municipal Recycling Plant in Brooklyn

1. Underlying excludes goodwill and other intangible asset impairments, and all other significant items

2. Other includes, hedging gains and losses, and other income

Australasia Regional Results

$Am	FY14	FY13	Ch%g
SlRaesevenue	1,223.9	1,083.1	13.0
UdliEBITDAnerngy	114.1	8.17	46.1
UdliEBITneryng	85.5	52.1	64.1
S()lVltaesomesmu	2,054	1,764	16.4
SlMi(%)aesargn	28.0%	23.9%

Performance

• Australasia underlying EBITDA of $114m increased by 46%, primarily driven by stronger earnings from Australia metals recycling
• Sales volumes 16% higher over FY13 and sales margins expanded from 23.9% to 28.0%
• Australia Metals benefiting from recent capital investments including upgrades at the St Mary's yard in NSW, and the installation of a downstream nonferrous recovery plant in VIC
• Higher controllable costs due to 14% increase in intake volumes over FY13

Strategic Progress

Commenced new shredder construction in Western Australia. The operations will replace an existing shredder while adding capacity for future market growth.

1. Underlying excludes goodwill and other intangible asset impairments, and all other significant items

2. Other includes, income from JV's, associates, FX, hedging gains and losses, and other income

Europe Regional Results

$Am	FY14	FY13	Ch%g
SlRaesevenue	1,651.6	1,575.3	4.8
UdliEBITDAnerngy	45.4	10.2	345.1
UdliEBITneryng	20.3	(19.2)	NMF
S()lVltaesoumesm	1,609	1,645	()2.2
2SlMi(%)aesargn	20.0%	18.%5

Performance

• Europe underlying EBITDA of $45m improved by 345%, driven by solid performance at UK Metals and Germany SRS, more than offsetting increased losses at UK SRS
• Underlying EBITDA margins increased from 0.6% to 2.7% due to improved controls over raw material procurement and controllable cost reductions
• Sales volumes relatively flat despite idling two shredders during FY13
• Controllable costs on a constant currency basis reduced by a further $44m over FY13

Strategic Progress

• Decision made in June 2014 to materially exit the loss making UK SRS business with net EBIT benefit expected to be realised over FY15 and FY16
• Bob Kelman, former President of North America Metals, appointed Managing Director of European Metals to promote further growth of the metals recycling business in Europe
• 1. Underlying excludes goodwill and other intangible asset impairments, and all other significant items
• 1. Sales Margin % for FY13 was revised to eliminate the impact of the $64m of UK inventory write-downs and $3m of NRV adjustments
• 1. Other includes, hedging gains and losses, and other income

Product Category Results

1$UdliEBITA(A)neryngm	FY14	FY13	Ch%g
2Ferrous	150.5	116.0	29.7
NFonerrosu	61.5	057.	97.
SRS	24.8	24.3	2.1
&OJVthser	17.8	12.5	42.4
C&RilCtorpegonaoss	(118)7.	(120.)5	(2.2)
Atitimorsaon	(18.3)	(22.4)	(18.3)
UdliEBITnerngy	118.5	66.9	77.1

3)SlVl(taesoumesm	FY14	FY13	Ch%g
4Ferrosu	8.401	9.359	()10.2
FBkerrousroerage	2.847	2.840	0.2
NFonerrous	0.567	0.550	3.1
Ttloa	11.815	12.786	()7.6

Performance

• Ferrous EBITA increased 30%, due to stronger margins per tonne driven by improved buying practices and lower controllable costs
• Non-Ferrous EBITA increased 8% due to stronger sales volumes and wider sales margins
• SRS EBITA improved 2% driven by stronger earnings in SRS Germany and Australasia, offset partially by losses in SRS Canada and UK SRS
• Corporate and Regional costs reduced by 2% due to increased focus on overhead cost reductions at both the corporate and regional levels

SRS Sales Revenue by Region – FY14

1. Underlying excludes goodwill and other intangible asset impairments, and all other significant items

2. Includes all Ferrous products (incl. brokerage &NFSR), 3. Sales volumes in million metric tonnes, 4. Excludes Ferrous Brokerage

Financial Review

Rob Larry, Group CFO

Financial Results

$(A)m	FY14	FY13	Ch(%)ange
SlRaeseenevu	129.07,	193.07,	(0.9)
StttEBITDAauory	124.8	(42.5)	fnm
UdliEBITDAneryng	242.4	190.4	237.
StttEBITauory	(27.6)	(470.4)	fnm
UdliEBITneryng	118.5	66.9	77.1
IttEnerespensex	()23.2	()25.5	9.0
IttIneresncome	9.0	7.3	23.3
NtIttEenerespensex	(14.2)	(18.2)	fnm
T(E)/Bfitaxxpenseene	(47.1)	21.3	fnm
SNLAfTtttttauoryeosserax	(88.9)	(463)7.	fnm
UdliNtPfitAftTneryngeroerax	68.8	15.9	332.7

1. See slide 47 for a reconciliation of statutory to underlying tax expense

2. nmf = not meaningful

FY14 Significant Items

$(A)m	Atlisraasau	h ANtorimerca	Eropeu	PTx Tre-atloa	AfTtx Ter-atloa
NohGdwill&IntaibleAstImirmtn-casoongsepaen	$-	$28.5	$-	$28.5	$22.9
FixedAsImirmttsepaen	(2.4)	12.4	30.9	40.9	41.6
Wite-dfEqiptSprownoumenares	0.6	0.2	-	0.8	0.7
NatulDisateExNet ofInrasrpenses,surance	-	(2.8)	-	(2.8)	(2.8)
FireDedAsNefIntrotst osyesesurance,	-	(5.3)	-	(5.3)	(5.3)
NetRel of aLoImirmtversaanpaen	-	()4.9	-	()4.9	()4.9
IntoAdjtmtstoNetRelisableValuvenryusenae	-	0.9	-	0.9	0.9
Wi-dfCTGDeivaive&EqiAcLotettyrownorsuc.sses	13.0	-	-	13.0	13.0
AdjtmtsdebyJointVetuusenmanres	-	3.0	-	3.0	3.0
LeSettlets/OLeasemennerousases	-	11.2	20.6	31.8	31.5
Redudaienncs	0.6	8.5	67.	16.7	16.3
Sefttlet oDispteithThirdPatiemenuswrs	-	1.3	-	1.3	1.3
CotsAsiatedithCEOAintmtssocneppoenww	0.3	0.7	-	1.0	0.9
YadClo/Dilaidaiotrsurepns	(0.6)	4.8	65.	9.8	9.8
C/ditPrisioLoreovnssses	-	3.5	-	3.5	3.4
Mlti-eloPeioPlaWithdrlmpernsnnawauy	-	6.3	-	6.3	6.3
LoSalefBuinDivisiossonosessns	0.1	1.2	-	1.3	1.2
Other	-	0.3	-	0.3	0.3
Witeff ofDefedTaAstr-orresex	-	-	-	0.0	17.6
TolSigificIfoFY14tattenanmsr	$11.6	$69.8	$64.7	$146.1	$157.7

Cash Flows

$(A)m	FY14	FY13	$Ch(A)angem
CffONthIltiAtiitieasnosromperangceswv	210.1	297.3	()87.2
CilEdittapaxpenure	(64.1)	(149.0)	84.9
PdfDittroceesromvesmens	38.4	44.9	(6.)5
PtfAiitifSbidiiNtfChaymensorcqusonsousares,eoas	-	(28.1)	28.1
OhIiAiiiNttttternvesngcves,e	24.8	(13.4)	11.4
COffNthtlItiAtiitieasosromnesngcesuwvv	()0.9	()118.8	117.9
NR/Bitteepaymensorrowngs	(198.4)	(157.3)	(41.1)
OthFiiAtiitiNternancngces,ev	(1.3)	(29.2)	297.
NtChOtflfFiiAtiitieasuowsromnancngcves	(199.7)	(186.5)	(13.2)

Capital Expenditure

• Increased rigor around capital allocation in FY14
• FY14 capital expenditures reduced to $64m with New England expansion and New York City Municipal Recycling (Phase I) projects now complete, and includes early stage investment for expansion in Western Australia
• FY15 capital expenditure expected range from $100 to $120m
• FY15 planned expansionary projects include the new yard and shredder plant in Western Australia and upgrade investments at three of our nonferrous metal recovery plants in North America

Financial Strength

• Balance sheet strength through debt elimination from cash flows was accomplished in FY14
  • Net debt was reduced by $196 million in FY14, to net cash of $42 million, at 30 June 2014
  • Financial strength through low gearing is core to our strategy
  • Undrawn lines of credit are circa $1.3 billion as at 30 June 2014
  • Balance sheet capacity and improved management confidence in the outlook support the resumption of a final dividend payment determined for FY14

1. Gearing is calculated as Net Debt / (Net Debt + Equity)

Strategic Progress Update

Galdino Claro, Group CEO

A clear five-year strategic plan

Implementation progress ramping up

	Slitreamne	Oiitpmse	Grow
Ilittmpemenaon	1-2years	3-4years	5years
FY14Progress	SSDiititRbiecsonoesnessxu•iUKdCdnananaaNthAiMtlormercaeas•lidtiit3iconsoaonnoregonsEifAtonon-coreerospacex•MlUhdGlf-itteas,aanuregonCFOltifChireocaonromcago•tNYkhdffioeworeaoce	fTtilitbilitransaconaproay•iildittreporngmpemenenldiittseeceoperangregonsRlltftttoouonewransporcos•titlreporngoosFihiftttrsspmensocusom•lddddtvaueaeprouc	1VldliiFY4dtomeecneneouu•ifdidttamxovesmens,aversehdkftttweaeranmareacorsMkthidtdaresareremaneseay•iFY14ithiktnwncoremares
FY1Obji5tecves	WiddfSRSbiinownousnessn•UKdCdananaa$0%f32illiEBIT5ttoargemon•illibfittnannuasreamneenesdbhidttexpeceoeaceve	EtblihPjtMtsasroecanagemen•Ofii(PMO)tdittceorvesraegyilttidtimpemenaonanreporngthacrossegropuFllllfilttturoouoransacona•fibililttttproaymanagemenoosNhddddewsreeranyar•iiWtAtliepansonnesernsraaxu	Rftittampuporecennvesmen•iAtlidNEldnusraaanewnganAddfddkttoeeeryarnewor•SRSthiigrownemergng•ktildiSthAfimaresncungourca,Dbi,dSEAiuaansaFhifSRSturerexpansono•lftttassemanagemenpaorm

Early stage gains from strategy being realised

Outlook

Galdino Claro, Group CEO

• Implementation of five year strategic plan is gathering pace, with further benefits from our Streamline and Optimise phases to be delivered in FY15
• 50% of the $32 million in annual EBIT benefits from our Streamline program to be achieved in FY15
• FY15 capex is expected to be between $100 million to $120 million
  • FY15 expansionary projects include a new yard and shredder plant in Western Australia;
  • Upgrade investments at three of our non-ferrous metal recovery plants in North America
• At this early stage of trading in FY15, intake volume has shown minor sequential improvement across all regions
• Maintain conservative view that external market conditions in the near-term will remain constrained

Appendix AExternal Operating Environment

External Operating Environment

	UitdSttneaes	Atliusraa	UidKidtnengom
1GDPGhtrow	40%	%35	31%
2Ultnempoymen	62%	64%	64%
Consumer3Cfidonence	91	99	2-
Phircasngu4MIdanagersnex	58	15	55
5NCSlewaraes	164m	1.1m	26m
6StlPdtieeroucon	807tm	46tm	11.9tm

• 1. Annual GDP growth (source: BEA, ABS, ONS)
• 1. Latest monthly data (source: BLS, ABS, ONS)
• 1. Latest monthly data (source: Conference Board, WestPac, GfK NOP)
• 1. Latest monthly data, >50 indicates expansion (source: ISM, AIG, Markit)
• 1. Annualised vehicle sales (source: Wards Auto, ABS, SMMT)
• 1. 2013 crude steel production change over previous year (source: WSA)

Improvement / decline on the prior period

Appendix BReporting segment information

Financial Overview

	FY2014	FY2013	Cha(%)nge
$SaleRe()svenuem	7,129.0	7,193.0	(0.9)
$()EBITDAm	124.8	()42.5	()393.6
$UndelyinEBITDA()*rgm	242.4	190.4	27.3
$Gdwill&InibleAsImirm()tattoongsepaenm	28.5	304.4	(90.6)
$()Deiatioprecnm	105.6	101.1	4.5
$Aisio()ttmoranm	18.3	22.4	(18.3)
$EBIT()m	(27.6)	(470.4)	(94.1)
$UndelyinEBIT()*rgm	118.5	66.9	77.1
$NPAT()m	(88.9)	(467.3)	(81.0)
$UndelyinNPAT()*rgm	68.8	15.9	332.7
EPS(ts) –dilutedcen	()43.5	()228.6	()81.0
UndelyinEPS(ts) –diluted*rgcen	33.6	7.7	336.4
$Nehinflofriniviie()t ctttaswomoperagacsm	210.1	297.3	(29.3)
$CaitalExditu()ppenresm	64.1	149.0	()57.0
$Net(Cah)Debt()sm	(42.3)	153.8	(127.5)
Ne(Cah)Deb/[Ne(Cah)DebEqi](%)ttttty+ssu	fnm	4%7.	(132.0)
SaleTo('000)snnes	11,814	12,786	()7.6
FullFislYeDividedDeteind(tsha)caarnrmecenpersre	10.0	0.0	-

*Underlying EBITDA, EBIT, NPAT and EPS are adjusted to exclude significant items as listed on slides 31 and 32.

Sales Revenue by Region

Europe

FY 2013

$m	FY2014	FY2013	C(%)hange
Aulasiatras	1,223.9	1,083.1	13.0
NothAmicrera	4,253.5	4,534.6	()6.2
Europe	1,651.6	1,575.3	4.8
Tolta	$129.07,	$193.07,	(0.9)

• Decline in North America sales revenue primarily relates to a 10% decline in sales volume.

Sales Revenue by Product

Ferrous TradingNon Ferrous ShredRecoveryFerrous BrokerageNon Ferrous TradingRecycling SolutionsManufacturing/Other

$m	2014FY	2013FY	C(%)hange
FeTrdinrrousag	$3,322.0	$3,62.64	(1)4.
NoFeShrdRenrrousecovery	352.5	312.3	12.9
FeBrkerrousorage	1,126.9	1,042.1	8.1
NoFeTrdin/Brkenrrousagorage	1,361.5	1,33.05	0.6
RelinSoluiotcycgns	909.8	968.8	(6.1)
fa/OMtuintheanucrgr	56.3	54.2	3.9
Total	$129.07,	$193.07,	(0.9)

• • Ferrous brokerage sales associated with SAR JV were $519.1 million and $577.4 million, in FY 2014 and FY 2013, respectively.
• • The increase in NFSR sales and decrease in Recycling Solutions sales in FY14 is the result of a change in presentation of sales from the heavy media plant in the UK from Recycling Solutions in FY13 to NFSR in FY14.

EBITA (pre-goodwill & intangible asset impairment) by Region

Significant Items by Region – FY 2014

	Autralasias	NothAmicrera	Europe	PrTaTotale-x	AfTater-xTotal
$m			FY2014
Go&NohdwillIntaibleAstImirmtn-casongsepaen	$-	$28.5	$ -	$28.5	$22.9
FixedAstImirmtsepaen	()2.4	12.4	30.9	40.9	41.6
Wi-dfEqipSptetrown oumenares	0.6	0.2	-	0.8	0.7
NalDisaExNefInstutet orasrpenses,uranceReiescover	-	(2.8)	-	(2.8)	(2.8)
FireDetrodAstsNet ofInsReiesseseurancecovery,	-	()5.3	-	()5.3	()5.3
f aNetRel oLoImirmtversaanpaen	-	(4.9)	-	(4.9)	(4.9)
InvtoAdjtmtstoNetRelisableValueenryusena	-	0.9	-	0.9	0.9
Wite-dfCTGDeivativedEqityrown ors anuActedLocounsses	13.0	-	-	13.0	13.0
AdjtmtsdebyJointVetuusenmanres	-	3.0	-	3.0	3.0
LeSettlemts/OnLeaseenerousases	-	11.2	20.6	31.8	31.5
Redudaiesnnc	0.6	8.5	7.6	16.7	16.3
Sefttlemt oDispteithThirdPatiesenus wr	-	1.3	-	1.3	1.3
OnCoCOtimtsAsiated withNeEe-essocw	0.3	0.7	-	1.0	0.9
YadClos/Dilapidatiorurens	(0.6)	4.8	5.6	9.8	9.8
CrditPrisio/Loeovnssses	-	3.5	-	3.5	3.4
Muli-eloyPeioPlanWihdrlLiabilitttympernsnawa	-	6.3	-	6.3	6.3
LoSalefBuineDivisiossonosssns	0.1	1.2	-	1.3	1.2
Other	-	0.3	-	0.3	0.3
ff offeWiteDedTaAstr-orrexse	-	-	-	0.0	17.6
SffoTotaligiicatIteFY2014nnmsr	$11.6	$69.8	$64.7	$146.1	$157.7

Significant Items by Region – FY2013

	Aulasiatras	NohAmictrera	Europe	PrTaToltae-x	fAteTar-xTolta
$m		FY2013
Go&NohdwillIntaibleAstImirmtn-casongsepaen	$-	$300.7	$3.7	$304.4	$270.8
ImirmfInvinAsiat otmttepaenesensoc	14.9	-		14.9	14.9
FixedAsImirmttsepaen	-	17.1	44.1	61.2	54.7
f eWite-dipt srown oqumenpares	-	-	5.1	5.1	5.1
fNatulDisatet oinsrasr expenses,neuranceiesrecover	-	4.3	-	4.3	2.7
Imirmt ofLoReivablepaenance	-	84.	-	4.8	3.0
UKInvtoWite-denryrowns	-	-	63.9	63.9	63.9
InvtoAdjtmtstoNetRelisableValueenryusena	-	2.8	3.2	6.0	4.9
Wite-dfCTGdeivatived eitytedrown ors anquaccounlosses	21.3	-	-	21.3	21.3
Se/OnLettlemtsLeaseenerousases	0.1	8.7	4.3	13.1	9.7
RedudaPrisionncyovns	0.5	4.8	2.0	7.3	5.0
Settlemt of aDispteith aThirdPatyenruw	-	4.7	-	4.7	4.7
Sha-bdCotiolatedtoreasempensan expenserefoCEOrmer	-	3.4	-	3.4	2.1
YadClos/Dilapidatiorurens	3.8	0.5	4.2	8.5	7.2
CrdiLotesses	-	1.1	1.8	2.9	2.0
Trio&OheAcisiioCottttsansacnrquns	1.0	1.2	0.9	3.1	2.4
SalefBuineDivisioLossonosssns	-	10.1	-	10.1	10.0
CoSeialttlemtsmmercen	-	(1.5)	(1.8)	(3.3)	(2.7)
Lo/(Gain)SalefJointlyCotrolledAstsdssononseanEntities	1.3	0.3	-	1.6	1.5
TotalSigificatItefoFY2013nnmsr	$42.9	$363.0	$131.4	$3357.	$483.2

EBITA (pre-goodwill & intangible asset impairment) by Product

$m	FY2014	FY2013	Cha(%)nge
FeTrdin(inl.NFSR)rrousagc	136.4	44.4	207.2
FeBrkerrousorage	9.7	13.7	(29.2)
NoFeTrdin/Brkenrrousagorage	60.9	42.1	44.7
RelinSolutiocycgns	(63.7)	(65.1)	(2.2)
Mfain/JVs/Ohetutancrgru	24.	(28.)7	(116)4.
EBITAbyPrdutoc	$147.5	$6.4	2,204.7
G&ReiolCoteCotsroupgnarporas	(128.3)	(150.0)	(14.5)
Amisiofiniblestttaoranong	(18.3)	(22.4)	(18.3)
EBIT(dwill&intaibletpre-goongasseimirmt)paen	$0.9	$(166.0)	(100.5)

• • EBITA by product is presented pre-corporate costs (both group and regional head office costs) and amortisation of intangibles.
• • EBITA by product is before add back of significant items and does not reflect any allocation of the write-off of goodwill and intangible asset impairments to the product categories.
• • Recycling Solutions includes adverse impact from inventory adjustments of $0 million in FY2014 and $48 million in FY2013 and other significant items of approximately $83 million in FY2014 and $41 million in FY2013.
• • Manufacturing/JV's/Other includes adverse impact from significant items of approximately $3 million and $39 million in FY2014 and FY2013, respectively.
• • Significant items included in the Group & Regional Corporate Costs totalled approximately $34 million in FY2014 and $40 million in FY2013.

EBIT (pre-goodwill and intangible asset impairment) Change by Product

EBIT (pre-goodwill and intangible asset impairment) Change by Region

Intake Volumes by Region

TotalTo('000's)nnes	FY2014	FY2013	Cha(%)nge
Autralasias	2,009	1,758	14.3
NohAmictrera	8,181	9,087	()10.0
Europe	1,593	1,608	(0.9)
Total	11,783	12,453	(5.4)

AustralasiaNorth America

Europe

FY 2013

• • Increase in Australasia reflects market gains in Australia from both organic growth and tuck-in acquisitions.
• • Decrease in North America relates to divestiture of business in Alabama, idling of the Gulf Region, and weak scrap generation impacting overall supply.

Intake Volumes by Product

FY2013
4.%50.2%
23.0%%35.5
%36.8

('000)TotalTo'snnes	2014FY	2013FY	C(%)hange
FeShrd(inNFSR)rrousec.	4,091	4,416	(4)7.
OthePrdFerocesserrous	4,278	4,584	(6.7)
FeBrkerrousorage	2,857	2,866	(0.3)
NoFeTrdin/Brkenrrousagorage	557	655	0.2
Other	0	31	(100.0)
Total	11,783	12,453	(5.4)

• • Ferrous brokerage tonnes associated with SAR JV were 1.4 million and 1.5 million tonnes for FY 2014 and FY 2013, respectively.
• • Decline in Ferrous Shred and Other Processed Ferrous mostly relate to North America.
• • Elimination of Other tonnes relate to reclassification of heavy media plant in FY14.

Sales Volumes by Region

AustralasiaNorth America

Europe

TolTo('000)ta'snnes	FY2014	FY2013	Cha(%)nge
Autralasias	2,054	1,764	16.4
NothAmicrera	8,152	9,377	(13.1)
Europe	1,609	1,645	(2.2)
Total	11,815	12,786	()7.6

FY 2013

• • Sales remained in balance with intake volumes.
• • Increase in Australasia reflects market gains in Australia from both organic growth and tuck-in acquisitions.
• • Decrease in North America relates to divestiture of business in Alabama, idling of the Gulf Region, and weak scrap generation impacting overall supply.

Sales Volumes by Product

34.9%
TotalTo('000's)nnes	FY2014	FY2013	Cha(%)nge
FeShrd(inNFSR)rrousec.	4,275	4,512	(5.3)
OhePrdFetrocesserrous	4,126	4,847	()14.9
FeBrkerrousorage	2,847	2,840	0.2
NoFeTrdin/Brkenrrousagorage	567	550	3.1
Ohetr	0	37	()100.0
Total	11,815	12,786	(7.6)

• • Ferrous brokerage tonnes associated with SAR JV were 1.4 million and 1.5 million tonnes for FY 2014 and FY 2013, respectively.
• • Declines in Ferrous Shred and Other Processed Ferrous in FY14 relate primarily to North America.
• • Elimination of Other tonnes relate to reclassification of heavy media plant in FY14.

Sales by Destination

37%1%3%21%4%12%12%10%FY2014

SE Asia / Oceania

FY2013

Group Income Statement

$m	FY2014	FY2013	$Cha()nge	Cha(%)nge
SaleResvenue	$7,129.0	$7,193.0	$(64.0)	(0.9)
EBITDA	124.8	()42.5	167.3	()393.6
UndelyinEBITDArg	242.4	190.4	52.0	27.3
EBIT	(26)7.	(40.4)7	442.8	(94.1)
UndelyinEBITrg	118.5	66.9	51.6	77.1
NetIntetExrespense	(14.2)	(18.2)	4.0	(22.0)
()fTaExBeitxpensene	(47.1)	21.3	(68.4)	(321.1)
Net(Lo)PrfitAfteTassorx	$()88.9	$()467.3	$378.4	()81.0
UndelyinNePrfiAfTatttergorx	$68.8	$15.9	$52.9	332.7

Group Balance Sheet

$m	Asf30Juone2014	Asf30Juone2013	$Cha()nge	Cha(%)nge
CtAstsurrense	$1,1007.	$1,149.3	(42.3)	(3.)7
NotAstsn-currense	1,542.4	1,768.1	()225.7	()12.8
TolAstatsse	2,649.4	2,917.4	(268.0)	(9.2)
CtLiabilitieurrens	6677.	61.74	6.2	0.9
NotBoinn-currenrrowgs	14.4	189.1	(174.7)	(92.4)
OtheNotLiabilitiern-currens	123.5	127.7	(4.2)	(3.3)
TotalLiabilities	815.5	988.2	()172.7	()17.5
NeAsttsse	$1,833.9	$1,929.2	(95.3)	(4.9)
(Ca)NethDebts	$(42.3)	$13.85	(196.1)	(12)7.5
Net(Cah)Debt/[Net(Cah)DebtEqity](%)+ssu	fnm	7.4%	-	-

Group Cash Flow

$m	FY2014	FY2013	$Cha()nge
(Lo)/Prfitfothessoryear	$(88.9)	$(467.3)	$378.4
Adjfohitmtsteusenr non-casms
Deiaiod aisaiotttprecn anmorn	123.9	123.5	0.4
Unlisedlos/(in)heldfodingdeivaivetratreasgaonrrs	8.5	(2.1)	10.6
f g&&Imirmt odwill,PPEintaibletspaenoongasse	69.4	365.6	(296.2)
Imirmtininvtmtiniatepaenesenanassoc	0.0	14.9	(14.9)
Lo/(Gain)lefjint vtudtsssonsaooenres anasse	0.0	0.3	(0.3)
Lolefbuinedivisiosson saosssns	1.3	10.1	(8.8)
Sha-bdtsreasepaymen	11.8	16.1	(4.3)
Eqidfifdividedsivedtytetst ouaccounpronenrece	10.8	25.1	()14.3
Ohetr	2.1	8.7	(6.6)
Chaintingtsdliabilitiesngeoperaassean	71.2	202.4	(131.2)
ffroNet chinlowtingtivitiesasmoperaac	$210.1	$297.3	$(87.2)
PatsfoPP&Eymenr	$(64.1)	$(149.0)	$84.9
Patsisitiof sbsidiariest of ch airedymenonacqunsouneascqu,	0.0	(28.1)	28.1
Patsfothefinaial atsymenr orncsse	(1.1)	(1.4)	0.3
Lotsfrothirdtiestanrepaymenmparne,	19.4	1.6	187.
PrdsfrolefPP&Eoceemsao	4.8	4.8	0.0
frofPrdslebuinedivisiooceemsaosssns	38.4	44.9	(6.5)
frof ofPrdsletheinaial atsoceemsaorncsse	1.7	1.1	0.6
frofPrdslejintlytrolled etitiesd atsoceemsaooconnansse	0.0	7.3	(7.3)
Net ch otflowfroinvtingtivitiesasmesacu	$(0.9)	$(118.8)	$1197.
Net chinflowfroting&invtingtivitiesassmoperaesac	$209.2	$18.75	$30.7

North America Regional Results

	FY2014	FY2013	C(%)hange
$SaleRe()svenuem	4,253.5	4,534.6	(6.2)
$EBITDA()m	41.6	39.8	4.5
$()()UndelyinEBITDA1rgm	82.9	102.1	()18.8
$Deiatio()precnm	53.3	48.5	9.9
$EBITA()m	(11.)7	(8.)7	34.5
$UndelyinEBITA()(1)rgm	29.6	53.6	(44.8)
$Gdwill&IntaibleAstImirmt()oongsepaenm	28.5	300.7	(90.5)
$f()Atistiointaiblemoranongsm	16.9	19.6	(13.8)
$EBIT()m	()57.1	()329.0	()82.6
$UndelyinEBIT()(1)rgm	12.7	34.0	(62.6)
$()Astssem	1,494.0	1,660.0	(10.0)
IntakeVolu(000's)mes	8,181	9,087	(10.0)
SaleVolu(000)'ssmes	8,152	9,377	(13.1)
Emlopyees	3,354	3,618	()7.3
SaleMin(%)sarg	16.5%	15.4%	-

(1) Underlying EBITDA, EBITA and EBIT are adjusted for significant items. See schedule of significant items on pages 31 and 32.

(2) Includes Unallocated Group Corporate items. These items totaled ($6.1m) and $2.5m in FY14 and FY13 respectively.

Australasia Regional Results

	FY2014	FY2013	C(%)hange
$SaleRe()svenuem	1,223.9	1,083.1	13.0
$EBITDA()m	102.5	325.	191.2
$()()UndelyinEBITDA1rgm	114.1	78.1	46.1
$Deiatio()precnm	27.6	25.1	10.0
$EBITA()m	4.97	10.1	641.6
$UndelyinEBITA()(1)rgm	86.5	53.0	63.2
$GdwillImirm()toopaenm	0.0	0.0	-
$f()Atistiointaiblemoranongsm	1.0	0.9	11.1
$EBIT()m	73.9	9.2	703.3
$UndelyinEBIT()(1)rgm	85.5	52.1	64.1
$Asts()sem	629.3	62.07	(6.)4
InkeVolu(000's)tames	2,009	1,758	14.3
Sa(000)leVolu'ssmes	2,045	1,647	16.4
Emlopeesy	1,016	984	3.3
SaleMin(%)sarg	28.0%	23.9%	-

(1) Underlying EBITDA, EBITA and EBIT are adjusted for significant items. See schedule of significant items on pages 31 and 32.

(2) Includes Unallocated Group Corporate items. These items totaled $1.5m and $8.8m in FY14 and FY13 respectively.

Europe Regional Results

	FY2014	FY2013	Cha(%)nge
$SaleRe()svenuem	$1,61.65	$1,7355.	4.8
$()EBITDAm	$()19.3	$()117.5	()83.6
$UndelyinEBITDA()(1)rgm	$45.4	$10.2	345.1
$Deiaio()tprecnm	24.7	27.5	(10.2)
$EBITA()m	$(44.0)	$(145.0)	(69.7)
$UndelyinEBITA()(1)rgm	$20.7	$(17.3)	(219.7)
$G()dwillImirmtoopaenm	0.0	3.7	(100.0)
$Atistiofintaible()moranongsm	0.4	1.9	()78.9
$EBIT()m	$(44.4)	$(150.6)	(70.5)
$()()UndelyinEBIT1rgm	$20.3	$(19.2)	(20)5.7
$Asts()sem	$526.1	$585.4	(10.1)
InkeVolu(000)ta'smes	1,593	1,608	(0.9)
SaleVolu(000's)smes	1,609	1,645	()2.2
Emlopyees	1,564	1,718	(9.0)
Sa(%)()leMin2sarg	20.0%	18.%5	-

(1) Underlying EBITDA, EBITA and EBIT are adjusted for significant items. See schedule of significant items on pages 31 and 32.

(2) Sales Margin % for FY13 was revised to eliminate the impact of the $64m of UK inventory write-downs and $3m of NRV adjustments

FY14 Income Tax Expense Considerations

$m	Prfi()tLoossfoBeTarex	InTacomexExpense	ETR
StatutoReltrysu	$()41.8	$47.1	%112.7
ReilinIteconcgms:
fSfImt oigiictItepacnanms	146.1	6.0
Witeff ofU.S.DefedTaAstr-orrexse	-	(17.6)
fUndelyinLotTaBeitedrgssesnoxne	-	(8)5.
Other	-	0.4	-
UndelyinReltsrgsu	$104.3	$30.1	28.9%