ArcelorMittal Reports Third Quarter 2012 and Nine Months 2012 Results

  ArcelorMittal Reports Third Quarter 2012 and Nine Months 2012 Results

Business Wire

LUXEMBOURG -- October 31, 2012

Regulatory News:

ArcelorMittal (referred to as “ArcelorMittal” or the “Company”) (MT (New York,
Amsterdam, Paris, Luxembourg), MTS (Madrid)), the world’s leading integrated
steel and mining company, today announced results^1 for the three and nine-
month periods ended September 30, 2012.

Highlights:

  *Health and safety performance: LTIF rate^2 of 1.0x in 3Q 2012 as compared
    to 0.8x in 2Q 2012 and 1.5x in 3Q 2011
  *EBITDA^3 of $1.3 billion in 3Q 2012 (including negative $0.1 billion from
    employee benefit charges^4) as compared to $2.4 billion in 2Q 2012 (which
    included positive $0.3 billion of gains on subsidiary divestments^5)
  *Steel shipments of 19.9 Mt in 3Q 2012, a decrease of 8.3% as compared to
    2Q 2012 and 5.7% below 3Q 2011
  *14.3Mt iron ore produced in 3Q 2012, up +1.3% YoY; 7.1Mt shipped and
    reported at market price^6, up +6.7% YoY
  *Net debt^7 increased by $1.2 billion during 3Q 2012 to $23.2 billion,
    driven by negative operating cash flow (including a $0.3 billion
    investment in working capital) and negative foreign exchange impacts
    partially offset by proceeds from asset disposal and an issuance of
    perpetual securities
  *Liquidity^19 of $13.4 billion at end 3Q 2012, with an average debt
    maturity of 6.2 years
  *Asset optimization plan progressing: Closure of liquid phase at Liege,
    Belgium^8 agreed; announced intention to launch a project to permanently
    close the liquid phase of Florange in France
  *Management gains plan completed with $4.8 billion savings achieved ahead
    of schedule

Outlook and guidance:

  *The Q3 2012 fall in the iron ore price^9 and the weaker global economic
    backdrop adversely impacted steel prices and steel volumes as well as the
    profitability of our mining operations, affecting our previous
    expectations for group profitability in 2H 2012
  *The Company now expects to achieve FY 2012 EBITDA of approximately $7
    billion
  *Iron ore shipments remain on track to increase by approximately 10% in FY
    2012 compared to FY 2011
  *Excluding any proceeds from future asset sales, net debt is expected to be
    approximately $22 billion by year end; deleveraging is a priority as the
    Company continues to target an investment grade credit rating
  *Considering the challenging global economic conditions, and the Company’s
    priority to deleverage, ArcelorMittal’s Board of Directors proposes
    reducing the annual dividend payment to $0.20/share^10 from 2013 (from
    $0.75/share in 2012)
  *2012 capex is expected to be approximately $4.5 billion; ArcelorMittal
    Mines Canada expansion to 24mtpa^11 on track for ramp up during 1H 2013

Financial highlights (on the basis of IFRS^1, amounts in USD):

(USDm) unless otherwise      3Q 12    2Q 12    3Q 11    9M 12    9M 11
shown
Sales                        $19,723  $22,478  $24,214  $64,904  $71,524
EBITDA                       1,336    2,449    2,408    5,757    8,403
Operating income / (loss)    (49)     1,101    1,168    1,715    4,851
Income from discontinued     -        -        -        -        461
operations
Net income / (loss)          (709)    959      659      261      3,263
Basic earnings / (loss) per  (0.46)   0.62     0.43     0.17     2.11
share (USD)
                                                            
Continuing operations                                        
Own iron ore production      14.3     14.4     14.1     41.9     39.0
(Mt)
Iron ore shipments at        7.1      8.2      6.7      22.1     19.6
market price (Mt)
Crude steel production (Mt)  21.9     22.8     22.4     67.4     70.2
Steel shipments (Mt)         19.9     21.7     21.1     63.8     65.2
EBITDA/tonne (USD/t)^12      67       113      114      90       129

Mr. Lakshmi N. Mittal, Chairman and CEO of ArcelorMittal, commented:

The already fragile global economy was further impacted in the third quarter
of 2012 by the slowdown in China. This resulted in very challenging operating
conditions for ArcelorMittal, which are expected to continue in the fourth
quarter. Against this backdrop, the Company is focussed on delivering its plan
of asset optimization, net debt reduction and productivity and efficiency
improvements.

THIRD quarter 2012 Earnings ANALYST Conference Call

ArcelorMittal management will host a conference call for members of the
investment community to discuss the financial performance for the third
quarter and nine-months period ended September 30, 2012 at:

Date                    New York            London            Luxembourg
Wednesday October 31,   10.30am             2.30pm            3.30pm
2012
                                                             
The dial in numbers:                                            
Location                Toll free dial in   Local dial in     Participant
                         numbers              numbers
UK local:               0800 169 3059       +44 (0)207 970    899569#
                                              0006
USA local:              1800 814 6417       +1 215 599 1757   899569#
France:                 0800917772          +33 170707578     899569#
Germany:                08009646526         +49 6940359700    899569#
Spain:                  900994921           +34 914140992     899569#
Luxembourg:             80024686            +352 24871048     899569#
                                                                             
A replay of the conference call will be available for one week by dialing
                       Language            Access code
+49 (0) 1805 2043 089   English             439204#

The conference call will include a brief question and answer session with
senior management. The presentation will be available via a live webcast on
www.arcelormittal.com.

Forward-Looking Statements

This document may contain forward-looking information and statements about
ArcelorMittal and its subsidiaries. These statements include financial
projections and estimates and their underlying assumptions, statements
regarding plans, objectives and expectations with respect to future
operations, products and services, and statements regarding future
performance. Forward-looking statements may be identified by the words
“believe,” “expect,” “anticipate,” “target” or similar expressions. Although
ArcelorMittal’s management believes that the expectations reflected in such
forward-looking statements are reasonable, investors and holders of
ArcelorMittal’s securities are cautioned that forward-looking information and
statements are subject to numerous risks and uncertainties, many of which are
difficult to predict and generally beyond the control of ArcelorMittal, that
could cause actual results and developments to differ materially and adversely
from those expressed in, or implied or projected by, the forward-looking
information and statements. These risks and uncertainties include those
discussed or identified in the filings with the Luxembourg Stock Market
Authority for the Financial Markets (Commission de Surveillance du Secteur
Financier) and the United States Securities and Exchange Commission (the
“SEC”) made or to be made by ArcelorMittal, including ArcelorMittal’s Annual
Report on Form 20-F for the year ended December 31, 2011 filed with the SEC.
ArcelorMittal undertakes no obligation to publicly update its forward-looking
statements, whether as a result of new information, future events, or
otherwise.

About ArcelorMittal

ArcelorMittal is the world's world’s leading integrated steel and mining
company, with a presence in more than 60 countries.

ArcelorMittal is the leader in all major global steel markets, including
automotive, construction, household appliances and packaging, with leading R&D
and technology, as well as sizeable captive supplies of raw materials and
outstanding distribution networks. With an industrial presence in over 20
countries spanning four continents, the Company covers all of the key steel
markets, from emerging to mature.

Through its core values of sustainability, quality and leadership,
ArcelorMittal commits to operating in a responsible way with respect to the
health, safety and well-being of its employees, contractors and the
communities in which it operates. It is also committed to the sustainable
management of the environment. It takes a leading role in the industry's
efforts to develop breakthrough steelmaking technologies and is actively
researching and developing steel-based technologies and solutions that
contribute to combat climate change.

In 2011, ArcelorMittal had revenues of $94 billion and crude steel production
of 91.9 million tonnes, representing approximately 6 percent of world steel
output.

ArcelorMittal is listed on the stock exchanges of New York (MT), Amsterdam
(MT), Paris (MT), Luxembourg (MT) and on the Spanish stock exchanges of
Barcelona, Bilbao, Madrid and Valencia (MTS).

For more information about ArcelorMittal please visit: www.arcelormittal.com.

ARCELORMITTAL THIRD QUARTER 2012 RESULTS

ArcelorMittal, the world’s leading integrated steel and mining company, today
announces results for the three month and nine month periods ended September
30, 2012.

Corporate responsibility and safety performance

Health and safety - Own personnel and contractors lost time injury frequency
rate^2

Health and safety performance, based on own personnel figures and contractors
lost time injury frequency rate, increased to 1.0x in third quarter of 2012
(“3Q 2012”) as compared to 0.8x for the second quarter of 2012 (“2Q 2012”) and
significantly decreased as compared to 1.5x for the third quarter of 2011 (“3Q
2011”).

The lost time injury frequency rate of 1.0x in first nine months of 2012 (“9M
2012”) compares to 1.5x for the first nine months of 2011 (“9M 2011”), with
significant improvements across all segments, especially in the Mining, Flat
Carbon Americas, Long Carbon Americas and Europe and Distribution Solutions
segments.

Despite this encouraging performance in lost time injury frequency rate, there
is still more work to be done. In particular we have to focus on improving the
safety performance of the contractors who work at our sites.

Own personnel and contractors - Frequency Rate
Lost time injury frequency rate  3Q 12  2Q 12  3Q 11  9M 12  9M 11
Total Mines                      0.7    0.5    1.2    0.8    1.3
                                                        
Lost time injury frequency rate  3Q 12  2Q 12  3Q 11  9M 12  9M 11
Flat Carbon Americas             0.9    1.1    1.7    1.0    1.9
Flat Carbon Europe               1.4    1.2    1.6    1.4    1.7
Long Carbon Americas and Europe  1.2    0.9    1.7    1.0    1.5
Asia Africa and CIS              0.5    0.3    0.9    0.5    0.7
Distribution Solutions           1.2    1.2    4.4    1.5    3.7
Total Steel                      1.0    0.9    1.6    1.0    1.5
                                                        
Lost time injury frequency rate  3Q 12  2Q 12  3Q 11  9M 12  9M 11
Total (Steel and Mines)          1.0    0.8    1.5    1.0    1.5

Key corporate responsibility highlights for 3Q 2012

  *ArcelorMittal leads the steel sector in the 2012 Dow Jones Sustainability
    Index (DJSI). The improved score resulted from improvements in disclosure,
    human rights, and the Company's responsible sourcing program.
  *ArcelorMittal Hamburg has been recognized as the flagship project for the
    city of Hamburg’s European Green Capital 2011. This accolade builds on
    ArcelorMittal Hamburg’s recent ISO50001 certification for energy
    management. Approximately 60,000 tonnes of CO2 have already been saved
    through energy efficiency improvements at this plant since 2007.
  *ArcelorMittal in Kazakhstan is pioneering the reuse of coal-bed mine waste
    methane gas for power generation. In addition to removing potentially
    dangerous methane from the coal mine, the project inaugurated in July 2012
    is expected to generate an annual 1.4MW of electricity that will meet ~20%
    of the mine’s power needs and reduce CO2 emissions significantly.

Analysis of results for the nine months ended September 30, 2012 versus
results for the nine months ended September 30, 2011

ArcelorMittal’s net income for 9M 2012 was $0.3 billion, or $0.17 per share,
as compared to net income for 9M 2011 of $3.3 billion, or $2.11 per share.

Total steel shipments for 9M 2012 were lower at 63.8 million metric tonnes as
compared with 65.2 million metric tonnes for 9M 2011.

Sales for 9M 2012 decreased by 9.3% to $64.9 billion as compared with $71.5
billion for 9M 2011 primarily due to lower average steel selling prices
(-8.1%) and lower steel shipments (-2.2%).

Depreciation of $3.4 billion for 9M 2012 was comparable with 9M 2011.

Impairment charges for 9M 2012 totaled $199 million, primarily related to the
intention to launch a project to permanently close the liquid phase at the
Florange site in France ($130 million); and the extended idling of the
electric arc furnace and continuous caster at the Schifflange site in
Luxembourg. Impairment expenses for 9M 2011 were $103 million relating to a
rolling facility in the Long Carbon Americas segment as well as costs
associated with the decision to close two blast furnaces, sinter plant, steel
shop and continuous casters at Liege, Belgium.

Restructuring charges for 9M 2012 totaled $395 million and consisted largely
of costs associated with the implementation of the Asset Optimization Plan
primarily impacting Flat Carbon Europe and Long Carbon Europe operations.

Operating income for 9M 2012 was $1.7 billion, compared with operating income
of $4.9 billion for 9M 2011. Operating result for 9M 2012 was positively
impacted by changes to the employee benefit plans at ArcelorMittal Dofasco^13
which led to curtailment gains of $241 million, the Skyline Steel divestment^5
which led to a gain of $339 million partially offset by $72 million charges
related to one-time signing bonus and post retirement benefit costs following
entry into the new US labor contract. Operating result for 9M 2012 was also
positively impacted by $426 million of dynamic delta hedge (“DDH”) income
(unwinding of hedges on raw material purchases) recognized during the period.
Operating result for 9M 2011 was positively impacted by $437 million DDH
income and a non-cash gain of $336 million relating to the reversal of
provisions for inventory write-downs and litigation.

Income from equity method investments and other income in 9M 2012 was $52
million as compared to $443 million in 9M 2011. Income from equity method
investments and other income was lower in 9M 2012 on account of losses from
Chinese investees and the impact of disposals (Erdemir^14, Enovos^15 and
Macarthur Coal). Income for 9M 2011 included an impairment loss of $119
million as a result of the Company’s withdrawal from the joint venture with
Peabody Energy to acquire ownership of Macarthur Coal.

Net interest expense (including interest expense and interest income) for 9M
2012 at $1.4 billion was comparable to 9M 2011 level.

Due to exchange rate effects, foreign exchange and other net financing
costs^16 were $497 million for 9M 2012 as compared to costs of $1.0 billion
for 9M 2011.

ArcelorMittal recorded an income tax benefit of $366 million for 9M 2012, as
compared to an income tax expense of $49 million for 9M 2011.

Loss attributable to non-controlling interests for 9M 2012 was $21 million as
compared with gain attributable to non-controlling interests for 9M 2011 of
$21 million.

Discontinued operations for 9M 2012 was nil as compared to a gain of $461
million for 9M 2011, which included $42 million of the post-tax net results
contributed by the stainless steel operations prior to the spin-off on January
25, 2011, and a $419 million one-time non-cash gain from the recognition
through the income statement of gains/losses relating to the demerged assets
previously held in equity.

Analysis of results for 3Q 2012 versus 2Q 2012 and 3Q 2011

ArcelorMittal recorded a net loss for 3Q 2012 of $0.7 billion, or $0.46 loss
per share, as compared with net income of $1.0 billion, or $0.62 per share,
for 2Q 2012, and net income of $0.7 billion, ^ or $0.43 per share, for 3Q
2011.

Total steel shipments for 3Q 2012 were 19.9 million metric tonnes as compared
with 21.7 million metric tonnes for 2Q 2012 and 21.1 million metric tonnes for
3Q 2011.

Sales for 3Q 2012 decreased by 12.3% to $19.7 billion as compared with $22.5
billion for 2Q 2012, and were down 18.5% as compared with $24.2 billion for 3Q
2011. Sales were lower during 3Q 2012 as compared to 2Q 2012 primarily due to
lower steel shipment volumes (-8.3%), and lower average steel selling prices
(-3.4%).

Depreciation amounted to $1.2 billion for 3Q 2012, comparable to 2Q 2012 and
3Q 2011.

Impairment charges for 3Q 2012 totaled $130 million, primarily related to the
intention to launch a project to permanently close the liquid phase at the
Florange site in France. Impairment charges for 2Q 2012 were nil. Impairment
charges for the 3Q 2011 was $85 million relating to costs associated with the
decision to close 2 blast furnaces, sinter plant, steel shop and continuous
casters in Liege, Belgium.

Restructuring charges for 3Q 2012 and 2Q 2012 totaled $98 million and $190
million, respectively, and consisted primarily of costs associated with the
decision to close two blast furnaces, sinter plant, steel shop and continuous
casters in Liege, Belgium. There were no such restructuring charges in 3Q
2011.

Operating loss for 3Q 2012 was $49 million, as compared with operating income
of $1.1 billion for 2Q 2012 and operating income of $1.2 billion for 3Q 2011.
Operating result for 3Q 2012 was negatively impacted by $72 million related to
one-time signing bonus and post retirement benefit costs following entry into
the new US labor contract. Operating result for 2Q 2012 was positively
impacted by a $339 million gain from the Skyline Steel divestment^5.

Operating result for 3Q 2012 and 2Q 2012 was positively impacted by $131
million and $136 million, respectively, of DDH income recognised during the
quarter. Operating result for 3Q 2011 included a non-cash gain of $129 million
relating to DDH income.

Loss from equity method investments and other income in 3Q 2012 was $55
million, as compared to an income of $121 million in 2Q 2012 on account of
lower income from Chinese investees and lower dividend income. Income from
equity method investments and other income in 3Q 2011 was $6 million.

Net interest expense (including interest expense and interest income) was
higher at $479 million for 3Q 2012 as compared to $456 million for 2Q 2012 and
$477 million for 3Q 2011. Net interest expense increased in 3Q 2012 compared
to 2Q 2012 primarily on account of increased interest triggered by the
Company’s recent downgrade by Standard & Poor’s.

Due to exchange rate effects, foreign exchange and other net financing losses
were $103 million for 3Q 2012 as compared to losses of $32 million for 2Q 2012
and gains of $85 million for 3Q 2011.

ArcelorMittal recorded an income tax expense of $43 million for 3Q 2012, as
compared to an income tax benefit of $219 million for 2Q 2012 and an income
tax expense of $154 million in 3Q 2011.

Loss attributable to non-controlling interests for 3Q 2012 was $20 million as
compared with a loss of $6 million for 2Q 2012 and a loss of $31 million for
3Q 2011.

Capital expenditure projects

The following tables summarize the Company’s principal growth and optimization
projects involving significant capital expenditures.

Completed Projects in Most Recent Quarters

Segment  Site     Project     Capacity / particulars          Actual
                                                                  Completion
Mining   Liberia  Greenfield  Iron ore production of 4mt /    3Q 11^(a)
          mines     Liberia      year (Phase 1)

Ongoing ^(b) Projects

Segment  Site              Project          Capacity /        Forecasted
                                               particulars        Completion
          Andrade Mines      Andrade           Increase iron
Mining   (Brazil)          expansion        ore production    4Q 2012
                                               to 3.5mt / year
          ArcelorMittal      Replacement of    Increase iron
Mining   Mines Canada      spirals for      ore production    1H 2013
                             enrichment        by 0.8mt / year
                                               Increase
          ArcelorMittal      Expansion         concentrator
Mining   Mines Canada      project          capacity by       1H 2013
                                               8mt/year (16 to
                                               24mt / year)
                             Optimization of   Optimize cost
          ArcelorMittal      galvanizing and   and increase
FCA      Dofasco (Canada)  galvalume        galvalume         On hold
                             operations        production by
                                               0.1mt / year
                                               Increase HDG
          ArcelorMittal      Expansion         capacity by
FCA      Vega Do Sul       project          0.6mt / year and  On hold
          (Brazil)                             CR capacity by
                                               0.7mt / year
                                               Increase in
          Monlevade          Wire rod          capacity of
LCA      (Brazil)          production       finished          On hold
                             expansion         products by
                                               1.15mt / year

a) Iron ore mining production commenced in 2011 with 1 million tonnes
produced. The targeted iron ore production in 2012 is 4 million tonnes. As
previously announced, the Company is considering a Phase 2 expansion that
would lead to annual production of 15 million tonnes by 2015. This would
require substantial investment in a concentrator, the approval process of
which remains in the final stages.

b) Ongoing projects refer to projects for which construction has begun
(excluding various projects that are under development), or have been placed
on hold pending improved operating conditions.

Analysis of segment operations

Flat Carbon Americas

(USDm) unless otherwise shown   3Q 12   2Q 12   3Q 11   9M 12    9M 11
Sales                           $4,840  $5,359  $5,499  $15,469  $16,005
EBITDA                          236     474     420     1,342    1,872
Operating income                3       245     193     655      1,197
                                                            
Crude steel production (Mt)     5,726   6,014   5,866   17,989   18,206
Steel shipments (Mt)            5,351   5,735   5,708   16,758   16,791
Average steel selling price     850     881     910     873      900
(US$/t)
EBITDA/tonne (US$/t)            44      83      74      80       111
Operating income /tonne         1       43      34      39       71
(US$/t)

Flat Carbon Americas crude steel production decreased by 4.8% to 5.7 million
tonnes for 3Q 2012, as compared to 6.0 million tonnes for 2Q 2012, driven
primarily by lower production in North America and in South America following
blast furnace #1 maintenance work in Tubarao, Brazil.

Steel shipments for 3Q 2012 were 5.4 million tonnes, 6.7% lower than 2Q 2012,
primarily driven by lower slab availability in Brazil following blast furnace
#1 maintenance as stated above.

Sales in the Flat Carbon Americas segment were $4.8 billion for 3Q 2012, a
decrease of 9.7% as compared to $5.4 billion for 2Q 2012. Sales were impacted
by lower steel selling prices in North America, weakening slab pricing and
lower dollar prices in South America due to depreciation of Brazilian Real.

EBITDA in 3Q 2012 decreased by 50.2% to $236 million as compared to $474
million in 2Q 2012. Lower profitability was primarily driven by North American
operations due to lower selling prices and one time labor cost ($72 million
impact related to one-time signing bonus and post retirement benefit costs
following entry into the new US labor contract) combined with lower steel
shipment volume.

Flat Carbon Europe

(USDm) unless otherwise shown   3Q 12   2Q 12   3Q 11   9M 12    9M 11
Sales                           $6,108  $7,223  $7,696  $21,050  $24,059
EBITDA                          191     381     367     702      1,474
Operating income / (loss)       (385)   (154)   (106)   (823)    245
                                                            
Crude steel production (Mt)     6,718   7,143   7,390   21,043   22,891
Steel shipments (Mt)            5,837   6,771   6,385   20,069   20,935
Average steel selling price     856     884     1,021   867      990
(US$/t)
EBITDA/tonne (US$/t)            33      56      57      35       70
Operating income (loss) /tonne  (66)    (23)    (17)    (41)     12
(US$/t)

Flat Carbon Europe crude steel production decreased by 5.9% to 6.7 million
tonnes in 3Q 2012 as compared to 2Q 2012 reflecting weaker market sentiment
and seasonal demand patterns.

Steel shipments for 3Q 2012 were 5.8 million tonnes, a decrease of 13.8% as
compared to 6.8 million tonnes for 2Q 2012. Steel shipments decreased in the
third quarter of 2012 due to significantly weaker market demand and seasonal
slowdown.

Sales in the Flat Carbon Europe segment were $6.1 billion for 3Q 2012, a
decrease of 15.4% as compared to $7.2 billion for 2Q 2012. Sales decreased
primarily due to lower steel shipment volumes and lower average steel selling
prices (-3.2%).

EBITDA for 3Q 2012 was $191 million as compared to $381 million for 2Q 2012.
Lower profitability was primarily driven by lower steel shipment volumes as
the effects of lower average steel selling prices was offset in part by lower
costs. EBITDA for 3Q 2012 includes $131 million of DDH income recognized
during the quarter as compared to $136 million DDH income for 2Q 2012.

Operating result in 3Q 2012 included impairment expenses of $130 million
relating to the intention to launch a project to permanently close the liquid
phase at the Florange site in France and restructuring costs totalling $90
million associated primarily with the decision to close two blast furnaces,
sinter plant, steel shop and continuous casters in Liege, Belgium. Operating
result in 2Q 2012 was negatively impacted by restructuring costs totaling $176
million associated with such decision with respect to Liege.

Long Carbon Americas and Europe

(USDm) unless otherwise shown   3Q 12   2Q 12   3Q 11   9M 12    9M 11
Sales                           $5,189  $5,698  $6,676  $16,650  $19,229
EBITDA                          330     564     438     1,331    1,528
Operating income                103     333     185     546      753
                                                            
Crude steel production (Mt)     5,713   5,885   5,611   17,383   18,084
Steel shipments (Mt)            5,508   5,839   5,984   17,085   18,023
Average steel selling price     861     885     967     886      948
(US$/t)
EBITDA/tonne (US$/t)            60      97      73      78       85
Operating income /tonne         19      57      31      32       42
(US$/t)

Long Carbon Americas and Europe crude steel production amounted to 5.7 million
tonnes for 3Q 2012, a decrease of 2.9% as compared to 5.9 million tonnes for
2Q 2012. Production was lower in Europe primarily due to weak market sentiment
and seasonal effects.

Steel shipments for 3Q 2012 were 5.5 million tonnes, a decrease of 5.7% as
compared to 5.8 million tonnes for 2Q 2012, particularly due to seasonal
slowdown in Europe and weaker demand in North America.

Sales in the Long Carbon Americas and Europe segment were lower at $5.2
billion for 3Q 2012, as compared to $5.7 billion for 2Q 2012. Sales were
impacted by a decrease in steel shipment volumes and by lower average steel
selling prices (-2.7%).

EBITDA for 3Q 2012 was $330 million, a 41.5% decrease as compared to $564
million for 2Q 2012. Lower profitability was primarily driven by reduced steel
shipment volumes and average steel selling prices particularly in the European
operations due to weak market sentiment and seasonal slowdown as well as a
reduction of shipment volumes in the Tubular business.

Asia Africa and CIS (“AACIS”)

(USDm) unless otherwise shown     3Q 12   2Q 12   3Q 11   9M 12   9M 11
Sales                             $2,457  $2,677  $2,619  $7,921  $8,046
EBITDA                            70      120     284     350     1,000
Operating income / (loss)         (86)    (38)    162     (122)   628
                                                             
Crude steel production (Mt)       3,721   3,691   3,493   11,027  11,029
Steel shipments (Mt)              3,178   3,321   3,005   9,852   9,451
Average steel selling price       658     687     771     684     743
(US$/t)
EBITDA/tonne (US$/t)              22      36      95      36      106
Operating income (loss) /tonne    (27)    (11)    54      (12)    66
(US$/t)

AACIS segment crude steel production was 3.7 million tonnes for 3Q 2012,
essentially flat compared to 2Q 2012.

Steel shipments for 3Q 2012 amounted to 3.2 million tonnes, down 4.3% as
compared to 3.3 million tonnes for 2Q 2012. Steel shipment volumes declined in
Kazakhstan and in South Africa due to weak market demand, offset by improved
steel volumes in the Ukrainian operations.

Sales in the AACIS segment were $2.5 billion for 3Q 2012, a decrease of 8.2%
as compared to $2.7 billion for 2Q 2012, primarily due to lower steel
shipments and average steel selling prices (-4.2%).

EBITDA for 3Q 2012 was $70 million, 41.7% lower as compared to $120 million
for 2Q 2012. Lower profitability was primarily due to lower steel shipment
volumes as the effects of lower average steel selling prices was offset in
part by lower costs.

Distribution Solutions

(USDm) unless otherwise shown   3Q 12   2Q 12   3Q 11   9M 12    9M 11
Sales                           $3,716  $4,292  $4,899  $12,439  $14,179
EBITDA                          11      385     48      431      290
Operating income / (loss)       (32)    332     8       290      161
                                                            
Steel shipments (Mt)            4,118   4,523   4,607   13,230   13,403
Average steel selling price     869     920     1,010   904      1,009
(US$/t)

Shipments in the Distribution Solutions segment for 3Q 2012 were 4.1 million
tonnes, a decrease of 9.0% as compared to 4.5 million tonnes for 2Q 2012 due
to continued challenges in the European market and seasonal slowdown.

Sales in the Distribution Solutions segment for 3Q 2012 were $3.7 billion, a
decrease of 13.4% as compared to $4.3 billion for 2Q 2012, due primarily to
lower steel shipment volumes and average steel selling prices (-5.5%)

EBITDA for 3Q 2012 was $11 million, as compared to EBITDA of $385 million for
2Q 2012. EBITDA for 2Q 2012 included a gain of $339 million from the Skyline
divestment. Excluding this, EBITDA for 2Q 2012 was $46 million.

Mining

(USDm) unless otherwise shown     3Q 12   2Q 12   3Q 11   9M 12   9M 11
Sales^17                          $1,288  $1,576  $1,678  $4,135  $4,463
EBITDA                            391     541     842     1,410   2,284
Operating income                  251     409     725     1,009   1,936
                                                             
Own iron ore production ^(a)      14.3    14.4    14.1    41.9    39.0
(Mt)
Iron ore shipped externally and
internally and reported at        7.1     8.2     6.7     22.1    19.6
market price ^(b) (Mt)
                                                             
Own coal production^(a) (Mt)      2.0     2.1     2.1     6.2     6.1
Coal shipped externally and
internally and reported at        1.2     1.4     1.2     3.8     3.6
market price^(b) (Mt)

(a) Own iron ore and coal production not including strategic long-term
contracts

(b) Iron ore and coal shipments of market-priced based materials include the
Company’s own mines, and share of production at other mines, and exclude
supplies under strategic long-term contracts

Own iron ore production (not including supplies under strategic long-term
contracts) declined 0.1 million metric tonnes to 14.3 million metric tonnes
for 3Q 2012, as compared to 14.4 million metric tonnes for 2Q 2012. Own iron
ore production (not including supplies under strategic long-term contracts)
increased 1.3% for 3Q 2012, as compared to 14.1 million metric tonnes for 3Q
2011.

Own coal production (not including supplies under strategic long-term
contracts) for 3Q 2012 declined 0.1 million metric tonnes compared to 2.1
million metric tonnes at 2Q 2012 and 3Q 2011.

EBITDA attributable to the Mining segment for 3Q 2012 was $391 million, 27.7%
lower as compared to $541 million for 2Q 2012. This decline was primarily due
to substantially lower iron ore market price and lower marketable iron ore
shipments primarily at ArcelorMittal Mines Canada due to scheduling some
shipments into Q4 following rail expansion, works and at ArcelorMittal Liberia
following severe monsoon conditions. EBITDA attributable to the Mining segment
was $842 million for 3Q 2011.

Liquidity and Capital Resources

For 3Q 2012, net cash used in operating activities was $0.3 billion, compared
to net cash provided by operating activities of $2.3 billion for 2Q 2012. Cash
flow from operating activities for 3Q 2012 included a $0.3 billion investment
in operating working capital compared to a working capital release of $1.4
billion in 2Q 2012. Rotation days^18 increased during 3Q 2012 to 72 days from
61 days in 2Q 2012 primarily driven by inventory build up.

Net cash used in investing activities during 3Q 2012 was $1.1 billion, as
compared to net cash used in investing activities of $0.8 billion for 2Q 2012.
Capital expenditures increased to $1.2 billion for 3Q 2012 as compared to $1.1
billion for 2Q 2012. The Company is focusing only on core growth capex in its
mining business given attractive return profiles of projects under
construction. Some planned steel investments remain suspended.

Other investing activities in 3Q 2012 of $154 million included $189 million
received for the first installment of Enovos sale price (after adjustment for
dividends) offset by an outflow of $47 million relating to payment of the
remaining installment of an 11% stake in Ostrava acquired in 2009. Other
investing activities in 2Q 2012 of $309 million included $684 million received
from the sale of Skyline Steel^5 partially offset by $356 million outflow from
subsidiary financing.

Net cash provided by financing activities for 3Q 2012 was $0.2 billion, as
compared to cash used by financing activities of $1.8 billion for 2Q 2012.
During 3Q 2012, the Company issued $650 million of subordinated perpetual
securities. The securities have no fixed maturity date, are subordinated and
have a coupon of 8.75% per annum, subject to the right of the Company to defer
such payments. During 2Q 2012, the Company repaid loans for a net amount of
$1.4 billion related to commercial paper and bank loans.

During 3Q 2012 the Company paid dividends amounting to $297 million as
compared to $294 million in 2Q 2012.

At September 30, 2012, the Company’s cash and cash equivalents (including
restricted cash and short-term investments) amounted to $3.0 billion as
compared to $4.5 billion at June 30, 2012. As of September 30, 2012, net debt
increased by $1.2 billion to $23.2 billion, as compared with $22.0 billion at
June 30, 2012, driven by negative operating cash flow (including investment in
working capital) and foreign exchange losses partially offset by proceeds from
asset disposal and perpetual securities issue. Excluding any proceeds from
asset sales, net debt is expected to be approximately $22 billion by year end.

The Company had liquidity^19 of $13.4 billion at September 30, 2012, a
decrease of $1.4 billion as compared with liquidity of $14.8 billion at June
30, 2012, consisting of cash and cash equivalents (including restricted cash
and short-term investments) of $3.4 billion and $10 billion of available
credit lines. At September 2012, the average debt maturity was 6.2 years down
from 6.4 years as of June 30, 2012.

Update on management gains program and asset optimization plan

At the end of 3Q 2012, the Company’s annualized sustainable management gains
increased to $4.8 billion as compared to $4.4 billion at 2Q 2012. The Company
has achieved its target to reach management gains of $4.8 billion from
sustainable SG&A, fixed and variable cost reductions and continuous
improvement ahead of schedule.

Progress has been made on the Asset Optimization Plan launched in September
2011 to generate an annualized $1 billion sustainable EBITDA improvement by
the end of 2012:

  *In October 2011, the Company announced its intention to close two blast
    furnaces, sinter plant, steel shop and continuous casters in Liege,
    Belgium;
  *In the fourth quarter of 2011 (“4Q 2011”), the Company announced the
    extended idling of its electric arc furnace in Madrid and further
    restructuring costs at certain other Spanish, Czech Republic and
    Distribution Solutions (“AMDS”) operations;
  *In the first quarter of 2012 (“1Q 2012”), the Company announced the
    extended idling of its electric arc furnace and continuous caster at the
    Schifflange site in Luxembourg and further optimization in Poland and
    Spain;
  *In October 2012, the Company announced its decision to close two blast
    furnaces, sinter plant, steel shop and continuous casters in Liege,
    Belgium; and
  *In October 2012, the Company announced its intention to launch a project
    to permanently close the liquid phase at the Florange site in France.

Annual dividend reduced to $0.20/share from 2013

Considering the challenging global economic conditions, and the Company’s
priority to deleverage, ArcelorMittal’s Board of Directors proposes reducing
the annual dividend payment to $0.20/share from 2013 (from $0.75/share in
2012). Subject to shareholder approval at the next annual general meeting in
May 2013, this dividend will be paid in July 2013.

Once the deleveraging plan is complete and market conditions improve, the
Board intends to progressively increase the dividend.

Recent developments

  *On October 1, 2012, ArcelorMittal Atlantique and Lorraine announced the
    intention to launch a project to permanently close the liquid phase of the
    Florange plant in France, and concentrate efforts and investment on the
    high-quality finishing operation in Florange, which employs more than
    2,000 employees. The Company has accepted the French government’s request
    for the government to find a buyer for the liquid phase within 60 days of
    October 1, 2012. Although the coke plant would not be part of the proposed
    closure, ArcelorMittal has agreed to include it in the potential sale.
    Some 629 people would be affected by the project. The Company is proposing
    that in the future, slab for the Florange site will be supplied from
    Dunkerque, thereby maintaining the industrial chain in France.
    ArcelorMittal will then focus on enhancing Florange’s position as a centre
    of excellence for developing high-quality value-added products for its
    customers, particularly the automotive industry. Florange’s geographic
    location close to important customers in the industry, its expertise and
    capacity in producing high-tech steels, the Group’s patents and its
    proximity to the Maizieres-les-Metz research and development centre, all
    support this strategy.
  *On September 25, 2012, the Company announced the pricing of an offering of
    US$ 650 million subordinated perpetual securities. The securities have no
    fixed maturity date, are subordinated and have a coupon of 8.75% per
    annum, subject to the right of the Company to defer the coupon payments.
    The initial coupon resets periodically over the life of the securities,
    with the first reset in year five and subsequently every five years
    thereafter. There is a step up in the coupon of 25bps on the second reset
    date (year 10) and a subsequent step up of 75bps fifteen years later. The
    Company is entitled to call the securities in year five, in year ten, and
    on subsequent coupon payment dates. The Company also has the option to
    redeem the securities upon specific accounting, tax, rating agency or
    change of control events.

Outlook and guidance

The Q3 2012 fall in the iron ore price, and the weaker global economic
backdrop, adversely impacted steel prices and steel volumes as well as the
profitability of our mining operations, affecting our previous expectations
for group profitability in 2H 2012. The Company now expects FY 2012 EBITDA of
approximately $7 billion.

Iron ore shipments remain on track to increase by approximately 10% in FY 2012
compared to FY 2011.

Excluding any proceeds from future asset sales, net debt is expected to be
approximately $22 billion by year end. Deleveraging is a priority as the
Company continues to target an investment grade credit rating.

The 2012 capex is expected to be approximately $4.5 billion. ArcelorMittal
Mines Canada expansion to 24mtpa’s is on track for ramp up during 1H 2013.

ARCELORMITTAL CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

In millions of U.S. dollars         September 30,  June 30,  December 31,
                                   2012           2012      2011
ASSETS                                                     
Cash and cash equivalents           $2,990         $4,470    $3,905
including restricted cash
Trade accounts receivable and       6,403          6,996     6,452
other
Inventories                         19,980         19,462    21,689
Prepaid expenses and other          3,651          3,894     3,559
current assets
Assets held for sale                870            398       -
Total Current Assets                33,894         35,220    35,605
                                                          
Goodwill and intangible assets      13,854         13,749    14,053
Property, plant and equipment       53,734         53,170    54,251
Investments in affiliates and       7,023          7,028     9,040
joint ventures
Deferred tax assets                 6,307          6,303     6,081
Other assets                        3,819          3,451     2,850
Total Assets                        $118,631       $118,921  $121,880
                                                          
LIABILITIES AND SHAREHOLDERS’                              
EQUITY
Short-term debt and current         $4,790         $4,794    $2,784
portion of long-term debt
Trade accounts payable and other    11,732         12,450    12,836
Accrued expenses and other          7,620          8,334     8,204
current liabilities
Liabilities held for sale           589            -         -
Total Current Liabilities           24,731         25,578    23,824
                                                          
Long-term debt, net of current      21,827         21,689    23,634
portion
Deferred tax liabilities            3,123          3,266     3,680
Other long-term liabilities         10,107         10,105    10,265
Total Liabilities                   59,788         60,638    61,403
                                                          
Equity attributable to the equity   55,112         54,560    56,690
holders of the parent
Non–controlling interests           3,731          3,723     3,787
Total Equity                        58,843         58,283    60,477
Total Liabilities and               $118,631       $118,921  $121,880
Shareholders’ Equity

ARCELORMITTAL CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

In millions of      Three months ended                Nine months ended
U.S. dollars
                     September  June 30,  September   September  September
                     30,                    30,         30,         30,
                   2012       2012      2011       2012       2011
Sales               $19,723    $22,478   $24,214    $64,904    $71,524
Depreciation        (1,157)    (1,158)   (1,155)    (3,448)    (3,449)
Impairment          (130)      -         (85)       (199)      (103)
Restructuring       (98)       (190)     -          (395)      -
charges
Operating income /  (49)       1,101     1,168      1,715      4,851
(loss)
Operating margin %  (0.2%)     4.9%      4.8%       2.6%       6.8%
                                                          
Income / (loss)
from equity method  (55)       121       6          52         443
investments and
other income
Net interest        (479)      (456)     (477)      (1,396)    (1,393)
expense
Foreign exchange
and other net       (103)      (32)      85         (497)      (1,029)
financing gains /
(losses)
Income (loss)
before taxes and    (686)      734       782        (126)      2,872
non-controlling
interests
Current tax         (101)      (171)     (209)      (408)      (834)
Deferred tax        58         390       55         774        785
Income tax benefit  (43)       219       (154)      366        (49)
/ (expense)
Income / (loss)
from continuing
operations          (729)      953       628        240        2,823
including
non-controlling
interest
Non-controlling
interests
(relating to        20         6         31         21         (21)
continuing
operations)
Income / (loss)
from continuing     (709)      959       659        261        2,802
operations
Income from
discontinued        -          -         -          -          461
operations, net of
tax
Net income /
(loss)
attributable to     $(709)     $959      $659       $261       $3,263
owners of the
parent
                                                          
Basic earnings /
(loss) per common   (0.46)     0.62      0.43       0.17       2.11
share ($)
Diluted earnings /
(loss) per common   (0.46)     0.56      0.19       0.15       1.81
share ($)
                                                          
Weighted average
common shares       1,549      1,549     1,549      1,549      1,549
outstanding (in
millions)
Adjusted diluted
weighted average
common shares       1,549      1,638     1,611      1,611      1,637
outstanding (in
millions)
                                                          
EBITDA^3            $1,336     $2,449    $2,408     $5,757     $8,403
EBITDA margin %     6.8%       10.9%     9.9%       8.9%       11.7%
                                                          
OTHER INFORMATION                                          
Total iron ore      17.8       18.4      17.4       51.2       46.9
production^20
Crude steel
production          21.9       22.8      22.4       67.4       70.2
(million metric
tonnes)
Total shipments of  19.9       21.7      21.1       63.8       65.2
steel products^21
                                                          
Employees (in       251        255       265        251        265
thousands)

ARCELORMITTAL CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

In millions of      Three months ended                Nine months ended
U.S. dollars
                   September  June 30,  September  September  September
                     30, 2012    2012       30, 2011    30, 2012    30, 2011
Operating                                                  
activities:
Income / (loss)
from continuing     $(709)     $959      $659       $261       $2,802
operations
Adjustments to
reconcile income /
(loss) to net cash                                         
provided by
operations:
Non-controlling     (20)       (6)       (31)       (21)       21
interests
Depreciation and    1,287      1,158     1,240      3,647      3,552
impairment
Restructuring       98         190       -          395        -
charges
Deferred income     (58)       (390)     (55)       (774)      (785)
tax
Change in
operating working   (318)      1,383     (1,013)    777        (5,668)
capital^22
Other operating     (628)      (1,043)   (30)       (1,877)    (833)
activities (net)
Net cash (used in)
provided by
operating           (348)      2,251     770        2,408      (911)
activities -
Continued
operations
Net cash used in
operating
activities -        -          -         -          -          (190)
Discontinued
operations
Net cash (used in)
provided by         (348)      2,251     770        2,408      (1,101)
operating
activities
Investing                                                  
activities:
Purchase of
property, plant     (1,208)    (1,102)   (1,267)    (3,559)    (3,363)
and equipment and
intangibles
Other investing     154        309       (31)       748        324
activities (net)
Net cash used in
investing
activities -        (1,054)    (793)     (1,298)    (2,811)    (3,039)
Continued
operations
Net cash used in
investing
activities -        -          -         -          -          (105)
Discontinued
operations
Net cash used in
investing           (1,054)    (793)     (1,298)    (2,811)    (3,144)
activities
Financing                                                  
activities:
Proceeds
(payments)
relating to         (81)       (1,425)   407        221        1,353
payable to banks
and long-term debt
Dividends paid      (297)      (294)     (309)      (885)      (905)
Proceeds from
mandatory           -          -         250        -          250
convertible bond
Proceeds from
subordinated        642        -         -          642        -
perpetual
securities
Acquisition of
non-controlling     -          (10)      (7)        (10)       (98)
interest
Other financing     (21)       (24)      (47)       (80)       20
activities (net)
Net cash (used in)
provided by
financing           243        (1,753)   294        (112)      620
activities -
Continued
operations
Net cash used in
financing
activities -        -          -         -          -          (8)
Discontinued
operations
Net cash (used in)
provided by         243        (1,753)   294        (112)      612
financing
activities
Net decrease in
cash and cash       (1,159)    (295)     (234)      (515)      (3,633)
equivalents
Cash and cash
equivalents
transferred to      (441)      -         -          (441)      -
assets held for
sale
Effect of exchange
rate changes on     33         (169)     (178)      (46)       17
cash
Change in cash and  $(1,567)   $(464)    $(412)     $(1,002)   $(3,616)
cash equivalents

Appendix 1a: Key financial and operational information - Third quarter of 2012

                                     Long
USDm unless      Flat       Flat     Carbon              Distribution
otherwise       Carbon    Carbon  Americas  AACIS   Solutions     Mining 
shown            Americas   Europe   and
                                     Europe
FINANCIAL                                                          
INFORMATION
                                                                  
Sales           $4,840    $6,108  $5,189    $2,457  $3,716        $1,288 
Depreciation    (233)     (356)   (226)     (156)   (36)          (140)  
Impairment      -         (130)   -         -       -             -      
Restructuring   -         (90)    (1)       -       (7)           -      
charges
Operating
income /        3         (385)   103       (86)    (32)          251    
(loss)
Operating
margin (as a %  0.1%      (6.3%)  2.0%      (3.5%)  (0.9%)        19.5%  
of sales)
                                                                  
EBITDA^3        236       191     330       70      11            391    
EBITDA margin
(as a % of      4.9%      3.1%    6.4%      2.8%    0.3%          30.4%  
sales)
Capital         165       182     174       115     21            490    
expenditure^23
                                                                  
OPERATIONAL                                                        
INFORMATION
Crude steel
production      5,726     6,718   5,713     3,721   -             -      
(Thousand MT)
Steel
shipments       5,351     5,837   5,508     3,178   4,118         -      
(Thousand MT)
Average steel
selling price   850       856     861       658     869           -      
($/MT)^24
                                                                  
MINING
INFORMATION                                                        
(Million Mt)
Iron ore        -         -       -         -       -             17.8   
production^20
Coal            -         -       -         -       -             2.2    
production^20
Iron ore
shipped
externally and  -         -       -         -       -             7.1    
internally and
reported at
market price^6
Iron ore
shipped
internally and  -         -       -         -       -             6.9    
reported at
cost-plus^6
Coal shipped
externally and
internally and  -         -       -         -       -             1.2    
reported at
market price^6
Coal shipped
internally and  -         -       -         -       -             0.8    
reported at
cost-plus^6

Appendix 1b: Key financial and operational information – Nine months of 2012

                                      Long
USDm unless      Flat       Flat      Carbon              Distribution
otherwise       Carbon    Carbon   Americas  AACIS   Solutions     Mining 
shown            Americas   Europe    and
                                      Europe
FINANCIAL                                                           
INFORMATION
                                                                   
Sales           $15,469   $21,050  $16,650   $7,921  $12,439       $4,135 
Depreciation    (687)     (1,073)  (677)     (464)   (115)         (401)  
Impairment      -         (130)    (61)      (8)     -             -      
Restructuring   -         (322)    (47)      -       (26)          -      
charges
Operating
income /        655       (823)    546       (122)   290           1,009  
(loss)
Operating
margin (as a %  4.2%      (3.9%)   3.3%      (1.5%)  2.3%          24.4%  
of sales)
                                                                   
EBITDA^3        1,342     702      1,331     350     431           1,410  
EBITDA margin
(as a % of      8.7%      3.3%     8.0%      4.4%    3.5%          34.1%  
sales)
Capital         542       668      545       327     69            1,326  
expenditure^23
                                                                   
OPERATIONAL                                                         
INFORMATION
Crude steel
production      17,989    21,043   17,383    11,027  -             -      
(Thousand MT)
Steel
shipments       16,758    20,069   17,085    9,852   13,230        -      
(Thousand MT)
Average steel
selling price   873       867      886       684     904           -      
($/MT) ^ 24
                                                                   
MINING
INFORMATION                                                         
(Million Mt)
Iron ore        -         -        -         -       -             51.2   
production^20
Coal            -         -        -         -       -             6.7    
production^20
Iron ore
shipped
externally and
internally and  -         -        -         -       -             22.1   
reported at
market price ^
6
Iron ore
shipped
internally and  -         -        -         -       -             18.8   
reported at
cost-plus^6
Coal shipped
externally and
internally and  -         -        -         -       -             3.8    
reported at
market price^6
Coal shipped
internally and  -         -        -         -       -             2.3    
reported at
cost-plus^6

Appendix 2a: Steel Shipments by geographical location^25

(Amounts in thousands tonnes)     3Q 12  2Q 12  3Q 11  9M 12   9M 11
Flat Carbon Americas:             5,351  5,735  5,708  16,758  16,791
North America                     4,530  4,615  4,271  13,683  12,878
South America                     821    1,120  1,437  3,075   3,913
                                                          
Flat Carbon Europe:               5,837  6,771  6,385  20,069  20,935
                                                          
Long Carbon Americas and Europe:  5,508  5,839  5,984  17,085  18,023
North America                     1,031  1,208  1,190  3,385   3,450
South America                     1,403  1,338  1,471  4,021   4,212
Europe                            2,828  3,023  3,037  8,907   9,554
Other^26                          246    270    286    772     807
                                                          
AACIS:                            3,178  3,321  3,005  9,852   9,451
Africa                            1,075  1,227  1,109  3,569   3,644
Asia, CIS & Other                 2,103  2,094  1,896  6,283   5,807

Appendix 2b: Steel EBITDA by geographical location

Amounts in USDm                   3Q 12  2Q 12  3Q 11  9M 12   9M 11
Flat Carbon Americas:             $236   $474   $420   $1,342  $1,872
North America                     266    446    366    1,233   1,449
South America                     (30)   28     54     109     423
                                                          
Flat Carbon Europe:               191    381    367    702     1,474
                                                          
Long Carbon Americas and Europe:  330    564    438    1,331   1,528
North America                     12     49     51     114     120
South America                     208    257    227    700     743
Europe                            34     148    84     278     460
Other^26                          76     110    76     239     205
                                                          
AACIS:                            70     120    284    350     1,000
Africa                            27     24     (7)    151     223
Asia, CIS & Other                 43     96     291    199     777
                                                          
Distribution Solutions:           11     385    48     431     290

Appendix 2c: Iron ore production (Million metric tonnes)

Million                                      3Q     2Q     3Q     9M     9M
metric       Type          Product        12    12    11    12    11
tonnes ^(a)
North                        Concentrate,
America      Open Pit      lump, fines    7.7   7.8   7.8   22.7  21.7
^(b)                         and Pellets
South        Open pit      Lump and       1.2   0.9   1.3   2.8   3.8
America                      fines
Europe       Open pit      Concentrate    0.6   0.5   0.6   1.6   1.4
                             and lump
Africa       Open Pit /    Fines          1.1   1.3   0.7   3.7   1.3
              Underground
                             Concentrate,
Asia, CIS &  Open Pit /    lump, fines    3.7   3.8   3.7   11.1  10.7
Other         Underground    and sinter
                             feed
Own iron
ore                                     14.3  14.4  14.1  41.9  39.0
production
North
America ^    Open Pit      Pellets        2.4   2.7   1.8   5.5   2.7
(c)
Africa ^(d)  Open Pit      Lump and       1.2   1.4   1.4   3.9   5.1
                             Fines
Strategic
contracts -                             3.6   4.0   3.3   9.3   7.9
iron ore
Group                                   17.8  18.4  17.4  51.2  46.9

^a) ^Total of all finished production of fines, concentrate, pellets and
lumps.

^b) ^Includes own mines and share of production from Hibbing (USA-62.30%) and
Pena (Mexico-50%).

^c) ^Consists of a long-term supply contract with Cleveland Cliffs for
purchases made at a previously set price, adjusted for changes in certain
steel prices and inflation factors.

^d) ^Includes purchases under a strategic agreement with Sishen/Thabazambi
(South Africa). Prices for purchases under the July 2010 interim agreement
with Kumba have been on a fixed-cost basis since March 1, 2010.

Appendix 2d: Iron ore shipments (Million metric tonnes)

Million metric tonnes             3Q 12  2Q 12  3Q 11  9M 12  9M 11
External sales – Third party      2.4    3.0    2.1    7.8    4.7
                                                         
Internal sales – Market-priced    4.8    5.2    4.6    14.3   14.9
                                                         
Internal sales – Cost-plus basis  6.9    7.0    6.9    18.8   16.8
Flat Carbon Americas              2.3    2.5    2.6    5.5    5.3
Long Carbon Americas and Europe   1.3    1.3    1.4    3.8    3.3
AACIS                             3.3    3.1    2.9    9.5    8.1
                                                         
Total sales                       14.0   15.2   13.5   40.9   36.3
                                                         
Strategic contracts               3.6    4.0    3.3    9.3    7.9
Flat Carbon Americas              2.4    2.7    1.8    5.5    2.7
AACIS                             1.2    1.4    1.4    3.9    5.1
                                                         
Total                             17.6   19.2   16.8   50.3   44.2

Appendix 2e: Coal production (Million metric tonnes)

Million metric tonnes        3Q 12  2Q 12  3Q 11  9M 12  9M 11
North America                0.60   0.61   0.57   1.85   1.73
Asia, CIS & Other            1.44   1.46   1.53   4.38   4.37
Own coal production          2.05   2.07   2.10   6.23   6.10
North America^(a)            0.08   0.07   0.05   0.23   0.18
Africa^(b)                   0.10   0.09   0.07   0.27   0.23
Strategic contracts - coal   0.19   0.16   0.12   0.50   0.41
Group                        2.24   2.24   2.22   6.73   6.51

(a) ^Includes strategic agreement - prices on a fixed-price basis

(b) ^Includes long term lease - prices on a cost-plus basis

Appendix 2f: Coal shipment (Million metric tonnes)

Million metric tonnes                  3Q 12  2Q 12  3Q 11  9M 12  9M 11
External sales - Third party           0.69   0.86   0.80   2.40   2.55
Internal sales - Market-priced         0.54   0.50   0.42   1.41   1.08
Internal sales (AACIS) - Cost-plus     0.82   0.73   0.83   2.34   2.50
basis
Total sales                            2.04   2.08   2.05   6.16   6.13
Strategic contracts                    0.19   0.16   0.12   0.50   0.41
Total                                  2.23   2.25   2.17   6.66   6.54

Appendix 3: Debt repayment schedule as of September 30, 2012

Debt repayment schedule ($  2012  2013  2014  2015  2016  >2016  Total
billion)
Term loan repayments                                       
- Convertible bonds         -     -     2.1   -     -     -      2.1
- Bonds                     -     3.1   1.3   2.2   1.8   12.4   20.8
Subtotal                    -     3.1   3.4   2.2   1.8   12.4   22.9
LT revolving credit lines                                  
- $6bn syndicated credit    -     -     -     -     -     -      -
facility
- $4bn syndicated credit    -     -     -     -     -     -      -
facility
Commercial paper^27         0.4   -     -     -     -     -      0.4
Other loans                 0.5   0.8   0.3   0.4   0.7   0.6    3.3
Total Gross Debt            0.9   3.9   3.7   2.6   2.5   13.0   26.6

Appendix 4: Credit lines available as of September 30, 2012

Credit lines available ($      Maturity    Commitment  Drawn  Available
billion)
- $6bn syndicated credit       18/03/2016  $6.0        $0.0   $6.0
facility
- $4bn syndicated credit       06/05/2015  $4.0        $0.0   $4.0
facility
Total committed lines                     $10.0       $0.0   $10.0

Appendix 5: Other ratios

Ratios                                                    3Q 12  2Q 12
Gearing^28                                                39%    38%
Net debt to EBITDA ratio based on last twelve             3.1X   2.6X
months EBITDA

Appendix 6: Earnings per share

In U.S. dollars         Three months ended              Nine months ended
                         Sept 30,  June 30,  Sept 30,   Sept 30,  Sept 30,
                       2012      2012      2011      2012      2011
Earnings / (loss) per
share - Discontinued                                        
operations
Basic earnings /
(loss)  per common      -         -         -         -         0.30
share
Diluted earnings /
(loss)  per common      -         -         -         -         0.28
share
Earnings / (loss) per
share - Continuing                                          
operations
Basic earnings /
(loss)  per common      (0.46)    0.62      0.43      0.17      1.81
share
Diluted earnings /
(loss)  per common      (0.46)    0.56      0.19      0.15      1.53
share
Earnings / (loss) per                                       
share
Basic earnings /
(loss)  per common      (0.46)    0.62      0.43      0.17      2.11
share
Diluted earnings /
(loss)  per common      (0.46)    0.56      0.19      0.15      1.81
share

Appendix 7: EBITDA Bridge from 2Q 2012 to 3Q 2012

                    Volume   Volume                             Non
USD        EBITDA   & Mix    & Mix    Price-cost   Price-cost   -Steel   Other   EBITDA
millions  2Q 12   -       -       - Steel     - Mining    EBITDA  (d)    3Q 12
                    Steel    Mining   (b)          (b)          (c)
                    (a)      (a)
Group     2,449   (465)   (46)    (50)        (105)       (21)    (426)  1,336

a) The volume variance indicates the sales value gain/loss through selling a
higher/lower volume compared to the reference period, valued at reference
period contribution (selling price–variable cost). The product/shipment mix
variance indicates sales value gain/loss through selling different proportions
of mix (product, choice, customer, market including domestic/export), compared
to the reference period contribution.

b) The price-cost variance is a combination of the selling price and cost
variance. The selling price variance indicates the sales value gain/loss
through selling at a higher/lower price compared to the reference period after
adjustment for mix, valued with the current period volumes sold. The cost
variance indicates increase/decrease in cost (after adjustment for mix,
one-time items, non-steel cost and others) compared to the reference period
cost. Cost variance includes the gain/loss through consumptions of input
materials at a higher price/lower price, movement in fixed cost, changes in
valuation of inventory due to movement in capacity utilization etc.

c) Non-steel EBITDA variance primarily represents the gain/loss through the
sale of by-products and services.

d) Other represents the gain/loss through movements in provisions including
write downs, write backs of inventory, onerous contracts, reversal of
provisions, dynamic delta hedge on raw materials, foreign exchange, etc as
compared to the reference period. Other includes $339 million gain relating to
sale of Skyline recorded in the second quarter of 2012, and $72 million
related to one-time signing bonus and post retirement benefit costs following
entry into the new US labor contract recorded in the third quarter of 2012.

Appendix 8: Capex^23

Capex (USDm)                     3Q 12  2Q 12  3Q 11  9M 12  9M 11
Flat Carbon Americas             165    166    173    542    436
Flat Carbon Europe               182    225    266    668    766
Long Carbon Americas and Europe  174    142    280    545    760
AACIS                            115    71     184    327    487
Distribution Solutions           21     23     34     69     94
Mining                           490    460    319    1,326  816

Note: Table excludes others and eliminations.

Appendix 9: End notes

^1 The financial information in this press release has been prepared in
accordance with International Financial Reporting Standards (“IFRS”) as issued
by the International Accounting Standards Board (“IASB”). While the interim
financial information included in this announcement has been prepared in
accordance with IFRS applicable to interim periods, this announcement does not
contain sufficient information to constitute an interim financial report as
defined in International Accounting Standards 34, “Interim Financial
Reporting”. Unless otherwise noted the numbers in the press release have not
been audited. The financial information and certain other information
presented in a number of tables in this press release have been rounded to the
nearest whole number or the nearest decimal. Therefore, the sum of the numbers
in a column may not conform exactly to the total figure given for that column.
In addition, certain percentages presented in the tables in this press release
reflect calculations based upon the underlying information prior to rounding
and, accordingly, may not conform exactly to the percentages that would be
derived if the relevant calculations were based upon the rounded numbers.

^2 Lost time injury frequency rate equals lost time injuries per 1,000,000
worked hours, based on own personnel and contractors.

^3 EBITDA is defined as operating income plus depreciation, impairment
expenses and exceptional items.

^4 During the 3Q 2012 the Company incurred $72 million related to a one-time
signing bonus and post retirement benefit costs following the new US labor
contract.

^5 On June 20, 2012, ArcelorMittal completed the sale of its steel foundation
distribution business in NAFTA, Skyline Steel and Astralloy (“Skyline Steel”),
to Nucor Corporation for a total consideration of $684 million. The
transaction comprises 100% of ArcelorMittal’s stake in Skyline Steel’s
operations in the NAFTA countries and the Caribbean.

^6 Market priced tonnes represent amounts of iron ore and coal from
ArcelorMittal mines that could be sold to third parties on the open market.
Market priced tonnes that are not sold to third parties are transferred from
the Mining segment to the Company’s steel producing segments and reported at
the prevailing market price. Shipments of raw materials that do not constitute
market priced tonnes are transferred internally and reported on a cost-plus
basis.

^7 Net debt refers to long-term debt, plus short term debt, less cash and cash
equivalents, restricted cash and short-term investments (including those held
as part of asset/liabilities held for sale). As at September 30, 2012 cash
included $441 million and debt included $17 million held at Paul Wurth, which
has since been classified as asset/liabilities held for sale.

^8 In October 2011, the Company announced its decision to close two blast
furnaces, sinter plant, steel shop and continuous casters in Liege, Belgium.

^9 Refers to the benchmark spot iron ore price.

^10 ArcelorMittal’s Board of Directors recommends reducing the annual dividend
payment to $0.20/share from 2013 (from $0.75/share in 2012). Subject to
shareholder approval at the next annual general meeting in May 2013, this
dividend will be paid in July 2013.

^11 Mtpa refers to million tonnes per annum.

^12 EBITDA/t includes total Group EBITDA divided by total steel shipments.

^13 ArcelorMittal Dofasco has made a number of changes to its pension plan and
health and dental benefits.Employees at Dofasco will be transitioned from an
existing defined benefit pension plan to a new defined contribution pension
plan.Changes to health and dental benefits will result in an increase in the
portion of the cost of health benefits that is borne by participants in the
plans. These changes resulted in a curtailment gain of $241 million in 1Q
2012.

^14 On March 28, 2012, ArcelorMittal announced that it had successfully
completed an offering to sell (through certain subsidiaries) 134,317,503
shares and warrants in respect of a further 134,317,503 shares in Ereğli Demir
ve Çelik Fabrikaları T.A.Ş. (“Erdemir”) generating total proceeds of TRY
478,170,311 by way of a single accelerated bookbuilt offering to institutional
investors. Taking into account acquisition cost net of dividends received, the
disposal of the 6.25% stake in Erdemir was cash positive (from an accounting
point of view the transaction resulted in a gain of $0.1 billion which
includes the reclassification of reserves previously recorded in net equity).
As a result of certain events, the Exchange Ratio and Exchange Price of the
outstanding Warrants were adjusted such that the Exercise Price of the Series
A warrants became TRY 3.490 for 1.437 shares, the Exercise Price of the Series
B warrants became TRY 3.656 for 1.437 shares and the Exercise Price for the
Series C warrants became TRY 3.822 for 1.437 shares. Series A warrants matured
on July 2, 2012 without any warrants being exercised.Similarly Series B
warrants matured on October 1, 2012 without any warrants being exercised.
ArcelorMittal’s holding today remains at approximately 18.7%. If the remaining
Series C warrants are exercised prior to the maturity date of December 14,
2012, ArcelorMittal’s holding will decline to approximately 16.7%.
ArcelorMittal agreed to a 365 day lock-up period on its remaining stake in
Erdemir.

^15 On April 4, 2012, ArcelorMittal Luxembourg entered into an agreement to
divest its 23.48% interest in Enovos International SA to a fund managed by AXA
Private Equity for a purchase price of EUR 330 million. The purchase price was
split with EUR 165 million payable at closing, and the remaining portion
deferred for up to two years. Interest will accrue on the deferred portion.
Closing of the transaction occurred on July 17, 2012, with $189 million
received for the first installment of Enovos sale price (after adjustment for
dividends). Taking into account acquisition cost net of dividends received,
the disposal of the 23.48% stake in Enovos will be cash positive (from an
accounting point of view the transaction resulted in a loss of $0.2 billion).

^16 Foreign exchange and other net financing costs include foreign currency
swaps, bank fees, interest on pensions, impairments of financial instruments
and revaluation of derivative instruments.

^17 There are three categories of sales: 1) “External sales”: mined product
sold to third parties at market price; 2) “Market-priced tonnes”: internal
sales of mined product to ArcelorMittal facilities and reported at prevailing
market prices; 3) “Cost-plus tonnes” - internal sales of mined product to
ArcelorMittal facilities on a cost-plus basis. The determinant of whether
internal sales are reported at market price or cost-plus is whether the raw
material could practically be sold to third parties (i.e. there is a potential
market for the product and logistics exist to access that market).

^18 Rotation days are defined as days of accounts receivable plus days of
inventory minus days of accounts payable. Days of accounts payable and
inventory are a function of cost of goods sold of the quarter on an annualized
basis. Days of accounts receivable are a function of sales of the quarter on
an annualized basis.

^19 Includes back-up lines for the commercial paper program of approximately
$1.3 billion (€1 billion).

^20 Total of all finished production of fines, concentrate, pellets, lumps and
coal (includes share of production and strategic long-term contracts).
(million metric tonnes)

^21 ArcelorMittal Distribution Solutions shipments are eliminated in
consolidation as they primarily represent shipments originating from other
ArcelorMittal operating subsidiaries. (million metric tonnes)

^22 Changes in operating working capital are defined as trade accounts
receivable plus inventories less trade accounts payable.

^23 Capex includes the acquisition of intangible assets (such as concessions
for mining and IT support) and includes payments to fixed asset suppliers.

^24 Average steel selling prices are calculated as steel sales divided by
steel shipments.

^25 Shipments originating from a geographical location.

^26 Includes Tubular products business.

^27 Commercial paper is expected to continue to be rolled over in the normal
course of business.

^28 Gearing is defined as (A) long-term debt, plus short-term debt, less cash
and cash equivalents, restricted cash and short-term investments ((including
those held as part of asset/liabilities held for sale), divided by (B) total
equity.

Contact:

Enquiries
ArcelorMittal Investor Relations
Europe, Tel: +352 4792 2652
Americas, Tel: +1 312 899 3569
Retail, Tel: +352 4792 3198
SRI, Tel: +44 207 543 1128
Bonds/Credit, Tel: +33 1 71 92 10 26
or
ArcelorMittal Corporate Communications
E-mail: press@arcelormittal.com
Tel: +352 4792 5000
Giles Read (Head of Media Relations)
Tel: +44 20 3214 2845
Tobin Postma
Tel: +44 203 214 2412
or
France
Image 7: Sylvie Dumaine
Tel : +33 1 53 70 94 17
or
United Kingdom
Maitland Consultancy: Martin Leeburn
Tel: +44 20 7379 5151
 
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