Oregon pleased to join Evraz

Russian steel and mining giant Evraz Group announced this week that it has completed its previously announced acquisition of Oregon Steel Mills. The merger follows the announcement January 12, 2007 of the successful closing of the cash tender offer by Evraz' wholly owned subsidiary, Oscar Acquisition Merger Sub Inc., to buy all outstanding shares of Oregon Steel common stock for $63.25 per share. Under the terms of the purchase agreement, Oregon Steel will become a subsidiary of Evraz. "We welcome Oregon Steel's employees into the Evraz family, and look forward to jointly building a world-class company with efficient operations, diverse revenue streams and high margins,” said Alexander Frolov, Evraz chairman and chief executive officer. “Together, we can also expect to benefit from vertical integration synergies as well as improved margins from access to lucrative downstream markets and a reliable source of Russian slabs to support an already low US cost base." Jim Declusin, Oregon Steel Mills president and chief executive officer, said: "We are pleased to join with Evraz and become part of a leading global steelmaker with complementary strengths and markets. As part of Evraz, we will have the critical elements needed to compete in new and growing markets." Evraz Group is among the largest vertically-integrated steel and mining companies with operations mainly in Russia. Evraz owns three of the leading steel plants in Russia, as well as three mining complexes in Russia, one mining complex in Italy, and one mining complex in Czech Republic. Portland, Oregon-based Oregon Steel Mills is organized into two divisions. The Oregon Steel Division, produces flat, pipe, and structural tubing products at facilities in Portland, Oregon and Camrose, Alberta, Canada. The Rocky Mountain Steel Mills division, located in Pueblo, Colorado, produces rail, rod, bar, and seamless tubular products.