Krakatau Steel

(in IDR Million) (in IDR Million)

2008 2009 2010
Revenue Rp 20,631,431 Rp 16,913,535 Rp 14,856,156 Revenue
COGS Rp 17,915,367 Rp 15,728,146 Rp 12,621,376 COGS
Gross Profit Rp 2,716,064 Rp 1,185,389 Rp 2,234,780 Gross Profit
Operating Expenses Rp 1,355,676 Rp 1,159,449 Rp 1,241,851 Operating Expenses
Operating Income Rp 1,360,388 Rp 25,940 Rp 992,929 Operating Income
Net Income Rp 459,571 Rp 494,672 Rp 1,062,683 Net Income
EBIT Rp 1,536,600 Rp 413,494 Rp 1,298,480 EBIT

Asset Rp 15,374,427 Rp 12,795,803 Rp 17,584,059 Asset

Debt Rp 9,934,666 Rp 6,989,965 Rp 8,290,144 Debt
Equity Rp 5,439,761 Rp 5,805,838 Rp 9,293,915 Equity

CFF Rp (7,468) Rp (184,001) Rp 2,663,432 CFF

CFO Rp 607,123 Rp 883,379 Rp 848,429 CFO
CFI Rp (203,210) Rp (18,216) Rp (1,028,399) CFI

Average (2008- Krakatau Steel Gunawan Jaya Pari Steel Arcelor Mital
POSCO (IDR)
2010) in million (IDR) Dianjaya (IDR) (IDR) (IDR)
Depreciation Rp 353,292 Rp 29,116 Rp 933 Rp 18,949,325 Rp 42,218,925
Interest Expenses Rp 360,295 Rp 40,877 Rp 802 Rp 3,618,765 Rp 16,511,150
Other Assets Rp 256,230 Rp 6,692 Rp 74 Rp 6,818,335 Rp 96,662,945
Free Cash Flow Rp (415,816) Rp 110,098 Rp 60,343 Rp 18,992,100 Rp 7,836,380

Krakatau Steel
(In USD milion) (In USD milion)
2008 2009 2010
Revenue $ 2,411.62 $ 1,977.04 $ 1,736.55 Revenue
COGS $ 2,094.14 $ 1,838.47 $ 1,475.32 COGS
Gross Profit $ 317.48 $ 138.56 $ 261.23 Gross Profit
Operating Expenses $ 158.47 $ 135.53 $ 145.16 Operating Expenses
Operating Income $ 159.02 $ 3.03 $ 116.06 Operating Income
Net Income $ 53.72 $ 57.82 $ 124.22 Net Income
EBIT $ 179.61 $ 48.33 $ 151.78 EBIT

Asset $ 1,797.13 $ 1,495.71 $ 2,055.41 Asset

Debt $ 1,161.27 $ 817.06 $ 969.04 Debt
Equity $ 635.86 $ 678.65 $ 1,086.37 Equity

CFF $ (0.87) $ (21.51) $ 311.33 CFF

CFO $ 70.97 $ 103.26 $ 99.17 CFO
CFI $ (23.75) $ (2.13) $ (120.21) CFI

Average (2008- Krakatau Steel Gunawan Jaya Pari Steel Arcelor Mital
POSCO (USD)
2010) in million (USD) Dianjaya (USD) (USD) (USD)
Depreciation $ 41.30 $ 3.40 $ 0.11 $ 2,215 $ 4,935
Interest Expenses $ 42.12 $ 4.78 $ 0.09 $ 423 $ 1,930
Other Assets $ 29.95 $ 0.78 $ 0.01 $ 797 $ 11,299
Free Cash Flow $ (48.61) $ 12.87 $ 7.05 $ 2,220 $ 916
 Gunawan Dianjaya Steel
(in IDR Million) (in IDR Million)
2008 2009 2010
nue Rp 3,020,530 Rp 1,641,555 Rp 1,710,132 Revenue
S Rp 2,460,755 Rp 1,829,359 Rp 1,413,251 COGS
s Profit Rp 559,775 Rp (187,804) Rp 296,881 Gross Profit
ating Expenses Rp 142,573 Rp 85,622 Rp 90,757 Operating Expenses
ating Income Rp 417,202 Rp (273,426) Rp 206,124 Operating Income
ncome Rp 83,070 Rp (150,055) Rp 171,428 Net Income
Rp 261,010 Rp 145,676 Rp 211,234 EBIT

t Rp 2,092,780.00 Rp 970,737.00 Rp 1,074,570.00 Asset

Rp 1,919,567.00 Rp 496,452.00 Rp 428,856.00 Debt
ty Rp 173,213.00 Rp 474,285.00 Rp 645,713.00 Equity

Rp 10 Rp (98,851) Rp - CFF
Rp 213,874 Rp (52,402) Rp (34,995) CFO
Rp (90) Rp (542) Rp (1,336) CFI

U.S Steel (IDR)

Rp 4,114,955
Rp 1,488,570
Rp 2,386,845
Rp 992,380

Gunawan Dianjaya Steel

(In USD milion) (In USD milion)
2008 2009 2010
nue $ 353.07 $ 191.88 $ 199.90 Revenue
S $ 287.64 $ 213.84 $ 165.20 COGS
s Profit $ 65.43 $ (21.95) $ 34.70 Gross Profit
ating Expenses $ 16.67 $ 10.01 $ 10.61 Operating Expenses
ating Income $ 48.77 $ (31.96) $ 24.09 Operating Income
ncome $ 9.71 $ (17.54) $ 20.04 Net Income
$ 30.51 $ 17.03 $ 24.69 EBIT

t $ 244.63 $ 113.47 $ 125.61 Asset

$ 224.38 $ 58.03 $ 50.13 Debt
ty $ 20.25 $ 55.44 $ 75.48 Equity

$ 0.00 $ (11.55) $ - CFF

$ 25.00 $ (6.13) $ (4.09) CFO
$ (0.01) $ (0.06) $ (0.16) CFI

U.S Steel
(USD)
$ 481
$ 174
$ 279
$ 116
 Jaya Pari Steel POSCO
(in IDR Million)
2008 2009 2010 2008
Rp 732,703 Rp 302,868 Rp 427,792 Revenue Rp 283,521,255
Rp 617,319 Rp 267,460 Rp 372,059 COGS Rp 205,730,640
Rp 115,384 Rp 35,408 Rp 55,733 Gross Profit Rp 77,790,615
Rp 17,033 Rp 15,103 Rp 17,314 Operating Expenses Rp 29,069,890
Rp 98,351 Rp 20,305 Rp 38,419 Operating Income Rp 48,720,725
Rp 49,158 Rp 1,917 Rp 28,445 Net Income Rp 29,548,970
Rp 92,819 Rp 21,724 Rp 41,276 EBIT Rp 43,861,485

Rp 399,344 Rp 353,951 Rp 411,282 Asset Rp 318,964,620

Rp 129,633 Rp 82,262 Rp 111,148 Debt Rp 131,071,155
Rp 269,711 Rp 271,689 Rp 300,134 Equity Rp 187,893,465

Rp - Rp - Rp - CFF Rp 21,165,070
Rp 116,895 Rp 9,629 Rp 48,826 CFO Rp 25,416,905
Rp (4,676) Rp (99,900) Rp 37,220 CFI Rp (39,412,885)

77,790,615
48,720,725

Jaya Pari Steel POSCO

(In USD milion)
2008 2009 2010 2008
$ 85.65 $ 35.40 $ 50 Revenue $ 33,141
$ 72.16 $ 31.26 $ 43.49 COGS $ 24,048
$ 13.49 $ 4.14 $ 6.51 Gross Profit $ 9,093
$ 1.99 $ 1.77 $ 2.02 Operating Expenses $ 3,398
$ 11.50 $ 2.37 $ 4.49 Operating Income $ 5,695
$ 5.75 $ 0.22 $ 3.32 Net Income $ 3,454
$ 10.85 $ 2.54 $ 4.82 EBIT $ 5,127

$ 46.68 $ 41.37 $ 48.08 Asset $ 37,284

$ 15.15 $ 9.62 $ 12.99 Debt $ 15,321
$ 31.53 $ 31.76 $ 35.08 Equity $ 21,963

$ - $ - $ - CFF $ 2,474
$ 13.66 $ 1.13 $ 5.71 CFO $ 2,971
$ (0.55) $ (11.68) $ 4.35 CFI $ (4,607)
 POSCO Arcelor Mittal
(in IDR Million)
2009 2010 2008 2009
Rp 270,757,195 Rp 457,093,650 Revenue Rp 1,068,827,480 Rp 557,016,050
Rp 210,170,685 Rp 368,164,425 COGS Rp 855,585,550 Rp 496,352,545
Rp 60,586,510 Rp 88,929,225 Gross Profit Rp 213,241,930 Rp 60,663,505
Rp 32,166,800 Rp 45,675,145 Operating Expenses Rp 108,562,950 Rp 75,018,795
Rp 28,419,710 Rp 43,254,080 Operating Income Rp 104,678,980 Rp (14,355,290)
Rp 23,646,020 Rp 31,516,620 Net Income Rp 80,408,445 Rp 1,009,490
Rp 31,670,610 Rp 45,136,180 EBIT Rp 120,223,415 Rp (23,449,255)

Rp 369,627,330 Rp 512,179,295 Asset Rp 1,138,567,840 Rp 1,092,447,835

Rp 142,551,965 Rp 249,138,710 Debt Rp 666,348,950 Rp 570,207,860
Rp 227,075,365 Rp 263,040,585 Equity Rp 472,218,890 Rp 522,239,975

Rp 6,330,700 Rp 42,809,220 CFF Rp (18,239,260) Rp (54,298,585)

Rp 63,212,895 Rp 15,262,120 CFO Rp 125,347,860 Rp 62,263,290
Rp (71,382,920) Rp (51,937,405) CFI Rp (106,321,540) Rp (23,817,120)

60,586,510 88,929,225 213,241,930 60,663,505

28,419,710 43,254,080 104,678,980 (14,355,290)

POSCO Arcelor Mittal

(In USD milion)
2009 2010 2008 2009
$ 31,649 $ 53,430 Revenue $ 124,936 $ 65,110
$ 24,567 $ 43,035 COGS $ 100,010 $ 58,019
$ 7,082 $ 10,395 Gross Profit $ 24,926 $ 7,091
$ 3,760 $ 5,339 Operating Expenses $ 12,690 $ 8,769
$ 3,322 $ 5,056 Operating Income $ 12,236 $ (1,678)
$ 2,764 $ 3,684 Net Income $ 9,399 $ 118
$ 3,702 $ 5,276 EBIT $ 14,053 $ (2,741)

$ 43,206 $ 59,869 Asset $ 133,088 $ 127,697

$ 16,663 $ 29,122 Debt $ 77,890 $ 66,652
$ 26,543 $ 30,747 Equity $ 55,198 $ 61,045

$ 740 $ 5,004 CFF $ (2,132) $ (6,347)

$ 7,389 $ 1,784 CFO $ 14,652 $ 7,278
$ (8,344) $ (6,071) CFI $ (12,428) $ (2,784)
or Mittal U.S Steel
(in IDR Million)
2010 2008 2009 2010
Rp 667,503,875 Revenue Rp 203,215,470 Rp 94,515,640 Rp 148,634,570
Rp 570,524,395 COGS Rp 168,730,265 Rp 99,212,335 Rp 139,095,745
Rp 96,979,480 Gross Profit Rp 34,485,205 Rp (4,696,695) Rp 9,538,825
Rp 66,138,705 Operating Expenses Rp 8,229,910 Rp 9,709,925 Rp 10,488,430
Rp 30,840,775 Operating Income Rp 26,255,295 Rp (14,406,620) Rp (949,605)
Rp 24,946,380 Net Income Rp 18,068,160 Rp (11,985,555) Rp (4,123,510)
Rp 29,377,870 EBIT Rp 27,170,680 Rp (14,423,730) Rp (1,625,450)

Rp 1,119,883,720 Asset Rp 137,624,285 Rp 131,935,210 Rp 131,319,250

Rp 585,795,070 Debt Rp 95,747,560 Rp 91,932,030 Rp 98,373,945
Rp 534,088,650 Equity Rp 41,876,725 Rp 40,003,180 Rp 32,945,305

Rp (59,885) CFF Rp (2,609,275) Rp 8,024,590 Rp 2,865,925

Rp 34,348,325 CFO Rp 14,184,190 Rp (521,855) Rp (3,242,345)
Rp (29,412,090) CFI Rp (8,828,760) Rp (3,199,570) Rp (4,987,565)

96,979,480 34,485,205 (4,696,695) 9,538,825

30,840,775 26,255,295 (14,406,620) (949,605)

or Mittal U.S Steel

(In USD milion)
2010 2008 2009 2010
$ 78,025 Revenue $ 23,754 $ 11,048 $ 17,374
$ 66,689 COGS $ 19,723 $ 11,597 $ 16,259
$ 11,336 Gross Profit $ 4,031 $ (549) $ 1,115
$ 7,731 Operating Expenses $ 962 $ 1,135 $ 1,226
$ 3,605 Operating Income $ 3,069 $ (1,684) $ (111)
$ 2,916 Net Income $ 2,112 $ (1,401) $ (482)
$ 3,434 EBIT $ 3,176 $ (1,686) $ (190)

$ 130,904 Asset $ 16,087 $ 15,422 $ 15,350

$ 68,474 Debt $ 11,192 $ 10,746 $ 11,499
$ 62,430 Equity $ 4,895 $ 4,676 $ 3,851

$ (7) CFF $ (305) $ 938 $ 335

$ 4,015 CFO $ 1,658 $ (61) $ (379)
$ (3,438) CFI $ (1,032) $ (374) $ (583)
1 USD 8,555
 Factor
Krakatau Steel
Categories Broad Rating Weightin
Sub Factor
Factor g Value Score
Net Consolidated Sales 25% 1.74 B
Size and Operational Diversity
1 Business Profile Regional Diversity 10% 5 A
Import Threat/Export Reliant
EBIT Margin (3 year average) 10% 6.2% Ba
Operating Return on Average Tangible Assets (3 year 5% 7.1% Baa
2 Performance average)
and Volatility Volatility based on the Coefficient of
10% 5.71% Aaa
Variation of CFO/Net Sales (3 years data)
Financial Debt/Capital (2010) 15% 47.15% Baa
3 Policies Debt / EBITDA (3 year average) 10% 5.85 Caa
EBIT/Interest (3 year average) 5% 3.01 Ba
Financial
4 CFO-Div/Debt (3 year average) 5% 9.28% Caa
Strength
FCF / Debt (3 year average) 5% -4.95% Caa
Gunawan Dianjaya Steel Jaya Pari Steel POSCO Arcelor Mittal U.S Steel
Value Score Value Score Value Score Value Score Value Score
0.20 Caa 0.05 Caa 53.43 Aaa 78.03 Aaa 17.37 A

3 Baa 2 Ba 7 Aa 7 Aa 6 A

9.7% Baa 10.65% Baa 11.93% Baa 5.5% Ba 2.49% B

14.93% A 13.38% A 10.05% A 3.76% Ba 2.77% Ba

-2.05% Aaa 11.41% Aaa 3.34% Aaa 5.15% Aaa -2.18% Aaa
39.91% A 27.02% Aa 48.64% Baa 52.31% Ba 74.91% Ba
4.03 B 2.04 Baa 2.94 Baa 7.21 Caa 12.19 Caa
5.04 Baa 64.76 Aaa 11.12 Aa 2.55 Ba 2.49 B
4.45% Caa 54.28% Aa 19.87% Ba 12.18% B 3.64% Caa
11.61% Baa 56.04% Aaa 10.9% Baa 1.29% B 1.04% B
 Sub-
Krakatau Steel
Categories Broad Rating Factor
Sub Factor
Factor Weightin Rating
Net Consolidated Sales g
25% 1
Size and Operational Diversity
1 Business
Profile Regional Diversity 10% 4
Import Threat/Export Reliant
EBIT Margin (3 year average) 10% 2
Operating Return on Average Tangible Assets (3 year 5% 3
2 Performance average)
and Volatility Volatility based on the Coefficient of
10% 6
Variation of CFO/Net Sales (3 years data)
Financial Debt/Capital (2010) 15% 3
3 Policies Debt / EBITDA (3 year average) 10% 0
EBIT/Interest (3 year average) 5% 2
Financial CFO-Div/Debt (3 year average)
4 5% 0
Strength
FCF / Debt (3 year average) 5% 0
TOTAL 2.15
RATING Ba2
Krakatau Steel Gunawan Dianjaya Jaya Pari Steel POSCO Arcelor Mittal U.S Steel
Ratio Rating Ratio Rating Ratio Rating Ratio Rating Ratio Rating
0.25 0 0 0 0 6 1.5 6 1.5 4

0.4 3 0.3 2 0.2 5 0.5 5 0.5 4

0.2 3 0.3 3 0.3 3 0.3 2 0.2 1

0.15 4 0.2 4 0.2 4 0.2 2 0.1 2

0.6 6 0.6 6 0.6 6 0.6 6 0.6 6

0.45 4 0.6 5 0.75 3 0.45 2 0.3 2
0 1 0.1 3 0.3 3 0.3 0 0 0
0.1 3 0.15 6 0.3 5 0.25 2 0.1 1
0 0 0 5 0.25 2 0.1 1 0.05 0
0 3 0.15 6 0.3 3 0.15 1 0.05 1
2.15 2.4 3.2 4.35 3.4 2.6
Ba2 Ba1 Baa2 A1 Baa1 Baa3
U.S Steel
Ratio
1

0.4

0.1
0.1

0.6
0.3
0
0.05
0
0.05
2.6
Baa3