Defi nitive price assessments for European hot-rolled steel coil

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					Definitive price assessments
for European hot-rolled steel coil
trusted by the industry




www.cruindices.com          Markets covered
Join the curve…
If you are actively involved in Europe’s steel sheet
market you need to know which way the price curve is
heading – in short, you need to get access to CRU’s market
leading assessments of hot-rolled coil prices in Germany,
France, Italy and Spain.

For over 25 years CRU has tracked monthly steel sheet
prices in the major European markets. These are currently
derived from traditional telephone surveys conducted with
our extensive pool of data providers from across the steel
supply chain - producers, service centers, traders and end-
users. Following the successful introduction of weekly price
assessments for the U.S. Midwest* market, which are calculated
from online data submissions made at cruindices.com, we
will shortly be introducing weekly price assessments for
the major European markets.

Price volatility has increased significantly in recent years
and as a consequence market participants have increasingly
migrated towards index-based deals to limit their price risk.
As a proven supplier of accurate, independent and accepted
price assessments we are confident that our reputation in the
physical and financial markets will be further cemented by our
new weekly European price assessments.



* Our U.S. Midwest price assessments are used for
  CME’s ‘U.S. Midwest Domestic Hot-Rolled Coil Steel
  Futures Contract’

www.cruindices.com
                                CRU have been tracking monthly
                                European steel sheet prices for over
                                25 years and are moving to weekly
                                assessments in early 2010

Why do companies contribute                    Benefits of being a data provider          Confidentiality
to our European Indices?                       • Receive weekly, price assessments,      In order to protect the integrity of
Given the amount of valuable physical            including history for hot-rolled coil   the index, each data provider signs
and financial contracts settled against           in Germany, France, Italy and Spain     an agreement, which addresses
CRU’s steel prices, it is in the interest of                                             confidentiality and security. CRU
market participants to contribute data.        • Get access to CRU’s world               Indices will never advertise, publish
In doing so, our assessments better reflect       renowned Steel Industry Analysts        or disclose the names of the companies
their business and its role in the market.     • Once a year receive an outlook          who contribute to its price assessments,
                                                 white paper on the European Steel       nor any details relating to their
What data is provided?                           Sheet market                            transactions.
The average price of all hot-rolled coil
spot transactions completed in the             • Chart your data contributions
preceding week for forward delivery.             against our prices online at            Become a data provider
                                                 www.cruindices.com                      3 simple ways to apply...
How are our weekly European
                                               • A discount on CRU’s
Indices calculated?                              Steel Price Data Licences
                                                                                         Complete and return the
Each index is compiled by assessing                                                      form overleaf
a cross-section of data points from            • Introductory offers for CRU’s
established market participants from             Steel Sheet Products Monitor            Online at
across the supply chain.                       • A VIP discount on CRU’s                 www.cruindices.com
Data is submitted online by Steel Mills,         Steel Conferences
Service Centers, Stockholders, Traders                                                   Email cruindices@crugroup.com
                                               How are CRU’s steel price
and End-users relating to the price
of spot transactions completed in the          assessments utilised?
preceding week for forward delivery.           • In ‘physical contracts’
For full details on our index                  • In ‘variable cost contracts’
methodology, please visit                      • As a reference point in                               Submit Data Online:
www.cruindices.com                               determining surcharges                                Contributions are made
                                                                                                       at www.cruindices.com
                                               • In the settlement of ‘Over the
                                                                                                       Fast – Efficient – Secure
                                                 Counter’ (OTC) derivative products
                                               • In the settlement of ‘Exchange
                                                 Traded’ derivative products

For further information on CRU’s Price Assessments, visit www.cruindices.com
2009 Monthly Hot-Rolled Coil Prices – €/tonne                                                 Correlations between prices
                                                                                              January 2005 – December 2009
€460
€440                                                                                          HRC           Germany        France   Italy   Spain
€420
€400                                                                                          Germany           1.00        0.99    0.91    0.93
€380
                                                                                              France            0.99        1.00    0.91    0.93
€360
€340                                                                                          Italy             0.91        0.91    1.00    0.92
€320
       9

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                                 9

                                         9

                                               9

                                                      9

                                                           9

                                                                   9

                                                                         9

                                                                              9
                                                                                              Spain             0.93        0.93    0.92    1.00
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    Germany             France        Italy        Spain                                      Source: CRU Analysis


Definitions used:
          Hot-rolled (HR) coil North Europe                              Hot-rolled (HR) coil South Europe
           (Germany):                                                    (Italy)
                                                                                                                       Sample Correlation Data
•   Base price, from parity point                             •   Base price, from parity point within Italy,          If you are interested in
    within Germany, for spot purchases                            for spot purchases for forward delivery
    for forward delivery
                                                                                                                       running correlations
                                                              •   Commercial quality (prime) material,
                                                                                                                       between your data
•   Commercial quality (prime) material,                          within standard tolerances
    within standard tolerances                                                                                         and ours, please email
                                                              •   In coils of at least 15 tonnes, with
•   In coils of at least 15 tonnes, with                          standard packaging                                   cruindices@crugroup.com
    standard packaging                                        •   Extras for gauge and width excluded
•   Extras for gauge and width excluded                       •   Delivery charges and taxes excluded
•   Delivery charges and taxes excluded                       •   Raw materials surcharges included                    Sample prices
•   Raw materials surcharges included
                                                                                                                       To receive a free sample
           Hot-rolled (HR) coil North Europe                             Hot-rolled (HR) coil South Europe             of our prices, visit
           (France):                                                     (Spain):                                      www.cruindices.com
•   Base price, from parity point within France,              •   Base price, from parity point within Spain,
    for spot purchases for forward delivery                       for spot purchases for forward delivery
•   Commercial quality (prime) material,                      •   Commercial quality (prime) material,
    within standard tolerances                                    within standard tolerances                         D ’ f ll
                                                                                                                     Don’t fall
•   In coils of at least 15 tonnes, with
    standard packaging
                                                              •   In coils of at least 15 tonnes, with
                                                                  standard packaging                                 behind the
•   Extras for gauge and width excluded                       •   Extras for gauge and width excluded                price curve -
•   Delivery charges and taxes excluded                       •   Delivery charges and taxes excluded
•   Raw materials surcharges included                         •   Raw materials surcharges included                  join it!
Related Steel Products from CRU:


The Steel Sheet Products Monitor is where CRU’s assessments of current market prices are published. It also provides
detailed analysis of key market fundamentals, along with production, consumption and trade data by products and region.
The Steel Sheet Quarterly Outlook presents historical data and five year forecasts of production, consumption,
trade and prices for hot-rolled, cold-rolled and galvanised steel sheet. The report presents detailed analysis, of all key
steel sheet market regions of the world. For further information, visit www.crugroup.com




The Steel Price Risk Management Guide has been designed to remove the mystery from hedging and risk management.
Using a comprehensive review of price risk management in the steel industry, the study will provide you with a
detailed step by step guide on how you can successfully manage your steel price risk. For further information,
visit www.crupriceriskmanagement.com




U.S. Midwest Domestic Hot-Rolled
Coil Steel Futures Contract                                       CRU Indices is part of CRU Group, the world’s
                                                                  leading independent research, consultancy, and
Contract specifications
                                                                  events organisation in the mining and metals sectors.
Trading unit:       (lot size) 20 short tons                      Headquartered in London, CRU employs over 250 people
Price quotation: US dollars and cents per short ton               in its offices throughout the US, China, Chile, India,
Trading months: 18 consecutive months                             Brazil and Australia. www.crugroup.com
Settlement:         Financial, against CRU’s US
                    Midwest assessments                           Accurate Accepted Independent
Trading symbol: HR
For further details visit, www.cmegroup.com/metals
Enquiry form
Please   complete and return this form to CRU INDICES
Post     > 31 Mount Pleasant, London, WC1X 0AD
Fax      > +44 20 7903 2432                                                                                                           Company type:
Email    > cruindices@crugroup.com                                                                                                       Producer
 Alternatively, contact Glenn Cooney, Head of Operations:                                                                                Service Centre
 Tel: +44 20 7903 2056; glenn.cooney@crugroup.com                                                                                        /Stockholder
                                                                                                                                         Distributor
Tick as appropriate
                                                                                                                                         Trader
      I am interested in becoming a data provider to the following markets:
      Germany       France    Italy    Spain                                                                                             End User
                                                                                                                                         Other
For the following Hot-rolled coil                  Cold-rolled coil           Hot dipped galvanised coil
      I would like a sample of CRU’s European Steel Sheet Prices                                                                      Approximate tonnage
                                                                                                                                      purchased/sold per annum
      I would like a sample of CRU’s US Steel Sheet Prices
                                                                                                                                         0-25,000
      I would like information on CRU’s Steel Price Licences
                                                                                                                                         25,000-100,000
      I would like a complimentary sample of CRU’s Steel Sheet Products Monitor
                                                                                                                                         100,000-500,000
      I would like a brochure for CRU’s Steel Sheet Quarterly Outlook
                                                                                                                                         500,000-1,000,000
      I would like some information on CRU’s Price Risk Management Services
                                                                                                                                         1,000,000+
Title                     First                                              Last
                                                                                                                                      Approximate proportion
Job Title                                                                                                                             of which relates to
                                                                                                                                      spot transactions
Company
                                                                                                                                         0-20%
Address
                                                                                                                                         21%-40%
                                                                                                                                         41%-60%
                                                                                                                                         61%-80%
Country                                                     Postcode                                                                     81%-100%

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