Continued weak steel market

Continued weak steel market

The severe weakness in the steel market continued during the second quarter. The
outlook which was communicated in the report for the first quarter 2009 has not
changed. 

Production and deliveries continue at low levels and utilization rates are
clearly below 50%. To adjust production to low deliveries, the two blast
furnaces in the Oxelösund mill have been idled and beginning next week the Luleå
blast furnace will also be idled. Meanwhile, prices have continued to be under
downward pressure. This means that SSAB expects to post an operating loss of
more than SEK 1bn for the first six months of 2009.

The cost savings program initiated in December develops according to plan. This,
together with measures to release working capital, is expected to lead to a
positive operating cash flow for SSAB for the first six months, despite the
weakness in the results. 

Agreements regarding coal prices for 2009 have been negotiated with SSAB's
suppliers. Prices in USD for SSAB will be 47% below the prices for last year and
are valid from April 1. SSAB has not yet finalized negotiations for iron ore
pellet prices. Agreements for pellet prices that have been reached among leading
global companies are 48% below the USD price levels for last year and indicate
the level where SSAB's agreement is expected to be.

Contact:  
Helena Stålnert, Executive VP Communications 	ph. +46 8 45 45 734
Catarina Ihre, Director, Investor Relations           	ph. +46 8 45 45 729

SSAB is a global leader in value added, high strength steel. SSAB offers
products developed in close cooperation with its customers to reach a stronger,
lighter and more sustainable world. SSAB employs 9,200 people in over 45
countries around the world and operates production facilities in Sweden and the
US. SSAB is listed on the NASDAQ OMX Nordic Exchange, Stockholm.