Mittal Steel commences US offer for Arcelor

Mittal Steel Company announced yesterday that it commenced its previously announced U.S. offer for ordinary shares and convertible bonds of Arcelor S.A. held by U.S. holders and for all Arcelor American Depositary Shares, each ADS representing one ordinary share of Arcelor. Mittal Steel offered to exchange 1 Mittal Steel class A common share and Euro 10.05 in cash for each Arcelor Share or Arcelor ADS tendered and 1 Mittal Steel class A common share and Euro 12.92 in cash for each Convertible Bond tendered. In addition to, or instead of, the primary offer, holders of Arcelor shares or ADSs may elect to participate in one or both of two secondary capped offers, one for cash only and the other for Mittal Steel class A common shares only. Pursuant to the secondary offers, Mittal Steel offered to exchange Euro 36.69 in cash for each Arcelor Share or Arcelor ADS tendered in the secondary cash offer; or 1.3773 Mittal Steel class A common shares for each Arcelor Share or Arcelor ADS tendered in the secondary exchange offer.