1SAFETY CONCERNS ALL WORKERS

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1 Special Report THE SCAW METALS GROUP An international group, owned by Anglo American plc SA operation 26% BEE-owned Level 7 BEE rating 44 years of expertise ISO and OSHAS Manufacturer of steel products Safety No. 1SAFETY CONCERNS ALL WORKERS August 2008 Metals welcomes its new Ozz employees into the fold South Africa (Pty) Ltd ( SA) is pleased to announce that its acquisition of Ozz Industries (Pty) Ltd (Ozz) was approved by the South African Competition Authorities and completed on Thursday, 19 June With effect from 1 July 2008, the Ozz businesses were divisionalised within SA and will, henceforth, trade under the Metals Group brand with their four factory sites being renamed as follows: Metals Group Boksburg Metals Group Dimbaza Metals Group Eclipse East Metals Group Eclipse West Top: Norman Mbazima, chief executive officer designate, Metals Group. Norman says, We are excited about the acquisition of Ozz Industries which complements and expands s range of products, services and expertise. We are looking forward to working with our new team members and forging a successful future together. Below : Ian Botha, acting CEO. SA is part of the international Metals Group. s operations are housed in two companies, South Africa (Pty) Ltd, which acquired Ozz, and International Sarl. The acquisition of the Ozz group of foundries will expand s product range and provide capacity for expansion of certain of s existing product lines. This is an exciting prospect for all concerned and welcomes its new colleagues from Boksburg, Dimbaza and Eclipse foundries to the Metals Group. Ian says, We welcome the Ozz team into. Over the next month we will be arranging a number of presentations and workshops to meet our new team and discuss our business strategy. Our first priority is on safety. a member of the Ferrous Metals and Industries Division of Anglo American plc

2 Meet the management team Johan Burger is operations manager and a director of SA. He has served the group for 27 years. Johan started his career in the mining industry as an engineer prior to joining. He holds a BEng in Electrical Engineering and a Government Certificate of Competency. Markus Hannemann is manager,, former Ozz foundries and s Standard. He has been with the group for 21 years having joined Haggie Rand as a pupil engineer. Markus holds a MBA and a NHD in Mechanical Engineering and a Government Certificate of Competency. Allan Wedderburn (currently Ozz operations director) and Paul Johnston (currently Ozz engineering director) will report to Markus. Laurence Erasmus is sales and marketing manager, Cast, SA. He has served the group for 27 years and has extensive experience in many areas of the business, including Finance, Scrap and Procurement. He holds a Bachelor of Commerce degree. Kevin Knott-Craig (currently Ozz sales and marketing director) will report to Laurence. Together, and Ozz will make strides John Kemble is head of human resources for the Metals Group. He has 24 years service with Anglo American having worked in coal, gold, financial services and base metals, with the last six years spent at. John will work closely with Hendrick Mokolane and the Ozz team to ensure that world-class people practices are a feature of the new divisions. His qualifications are BSocSci (Natal); CPIR (Wits); Advanced Labour Law (UNISA). Gareth Campbell, who has held the position of chief executive officer of Ozz foundries, has agreed to make himself available in a strategic consulting role to for the next three months to ensure a smooth transition takes place as Ozz Industries is integrated into the operations. Alastair Moffat, chairman, has retired from Ozz. Tony Welton, finance director, will be retiring from Ozz in September MANAGEMENT TEAM ORGANISATIONAL STRUCTURE OUR STRATEGY s strategy focuses on achieving world class performance in all areas of the business, including: Providing a safe and healthy environment where all employees are treated with dignity, care and respect, and by demonstrating commitment to sustainable development through ethical business practices, environmental excellence and social responsibility. Continuously improving the operating efficiency of existing assets. Investing to develop new value adding capacity to expand a well-balanced portfolio of world class assets. Pursuing acquisition and business development opportunities based on leveraging s core competencies. Aiming to become the employer of choice through establishing a culture that is meritocratic, open and empowering to attract the best talent and ensure that employees can realise their full potential in driving superior business performance. Seeking to optimise the efficiency of the supply channel and to improve the focus on marketing and customer relationships. Norman Mbazima chief executive officer Metals Group* Norman Mbazima will be joining in September 2008 as chief executive officer subject to remaining formalities on Anglo Platinum s mineral right conversions being completed. He is currently chief financial officer of Anglo Platinum. Norman is a chartered accountant and has gained extensive experience in base metals, coal and platinum since joining Anglo American in Christopher Davis is the chief financial officer of the Metals Group and a director of SA and International. He is a chartered accountant who started his career in Anglo American in Corporate Finance. Chris, who is passionate about business performance, also plays a key role in s information technology and supply chain activities. Chris will be working with the team to ensure best financial and accounting practices. Deirdré Lingenfelder, group SHE manager. Last year she became the first woman in the group to be appointed to South Africa s Executive Committee. Since joining the group in 2003 she has stamped SHE in with her own personal brand of resultsoriented commitment. She has a Bachelor of Science degree, a Bachelor of Science Honours degree in Biological Science, a Master of Science degree in Physiology and is completing a Master of Commerce degree in Business Management. Laurence Erasmus sales & marketing manager Cast Johan Burger operations manager Rolled, Cast, Markus Hannemann manager,, Ozz and Standard 2 3 Christopher Davis Finance John Kemble Human Resources Boksburg Dimbaza Eclipse East Deirdré Lingenfelder SHE Eclipse West Keith Taylor Wire Rod * Ian Botha will be acting CEO until Norman takes up his post Service departments will generally have operational reporting lines to the managers of their operations and in the case of HR, Finance and SHE a strong technical reporting line to the head of the discipline at the centre.

3 The merging of two important steel businesses into one FACTORY AND MARKETING SITES is an international group manufacturing a diverse range of steel products. Its principal operations are located in South Africa, South America, Canada and Australia. Smaller operations are in Namibia, Zimbabwe and Zambia. The main product lines manufactured by the group are rolled steel (much of which is supplied to s downstream operations), steel and alloy iron castings, cast alloy iron and forged steel grinding media, chain, steel wire rope, strand and wire products. These are supplied to the global construction, railway, power generation, mining, cement, marine, engineering and agricultural markets. Ozz Industries is a South African manufacturer and supplier of crusher and mill consumable steel wear parts and a small quantity of grinding media to the mining and aggregate industries in Africa, Australia, Europe and North America. Ozz operates four foundries in South Africa and three distribution centres in Australia. The four operations in South Africa are Eclipse East and Eclipse West (both in Benoni South), the Boksburg operation (also on the East Rand), and the Dimbaza operation in the Eastern Cape. Together these two businesses will make great strides. KEY Factory and marketing site Marketing site Kamloops Edmonton Guadalajara SCAW HAS A PRESENCE ON ALMOST EVERY CONTINENT Lima Arequipa Mejillones Santiago Talcahuano Piombino Kitwe Kwe Kwe Benoni, Boksburg, Germiston, Johannesburg, Namibia Durban Springs, Vanderbijlpark, Eastern Cape Vereeniging SCAW METALS GROUP STRUCTURE BEE Consortium & ESOP Perth Anglo American plc Taguig Townsville Newcastle Sydney Melbourne THE HIGHEST OF STANDARDS is an ISO 9000-series accredited organisation manufacturing products to meet the requirements of the appropriate international certification authorities. s safety, health and environmental management systems are aligned with the international ISO and OSHAS standards. In the same way that adheres to the highest quality standards, so too does Ozz. Ozz s quality assurance policies, procedures and practices are ISO 9001:2000 accredited. Rolled 26% 74% 100% South Africa (Pty) Ltd International Sarl Cast * Wire Rod AltaSteel Rolled *The former Ozz businesses fall under Cast, SA. 4 5

4 Safety, employee wellbeing and environmental management are priorities OUR PRINCIPLES The Metals Group approach is founded on a zero mindset, no repeats, and strict rules and standards. This is an approach that insists on an absolute adherence to s SHE policies, standards and procedures at all times it is intolerant of unsafe acts and/or conditions. Over the next month the management team at will be arranging a number of presentations and workshops to meet with you to discuss the business strategy and to get your valuable input into this new partnership. The success of the integration will depend on your commitment and expertise, and we look forward to your contribution. SAFETY FIRST Every person in must return safely and healthily to their families after their working day. Safety is a non-negotiable requirement underpinning every aspect of what we do, at work and at home. A detailed safety, health and environment plan that ensures safe and sustainable production has been developed and is currently being rolled out across the Boksburg, Dimbaza and Eclipse foundries. KEY MESSAGES Our vision is one of zero harm. Our approach is founded on sound risk management. Excellence in safety, health and environment are about leadership in action getting out there, supporting our people, day in and day out. Safety is about actions, leadership, heart and passion it is personal. Safety is about consistency and predictability. Safety is about working to the right high standards. Safety is about never walking past an unsafe act or condition. Safety is about being your brother s keeper. SCAW SOUTH AFRICA IS LEVEL 7 BEE RATED In early 2007 SA completed a landmark empowerment transaction introducing a Black Economic Empowerment (BEE) Consortium (21%) and an employee share ownership plan, ESOP (5%), as shareholders in the South African business (then valued at R5,3 billion). SA s BEE partners are Izingwe, Southern Palace and Shanduka. SA is the first steel producer to receive a BEE rating. The Economic Empowerment Rating Agency (Empowerdex) has rated SA as a Level Seven Contributor for the period November 2007 to November 2008, allowing 50% of all procurement from to be classified as BEE spend. IMPORTANT Employees from the former Ozz group of foundries will qualify to participate in the ESOP. Details will be provided in due course. Safety, health and environment are number

5 Your important questions answered by the management team WHY DID SCAW BUY OZZ? The acquisition of the Ozz group of foundries will expand s product range and provide capacity for expansion of certain of s existing product lines. WHAT ARE SCAW S PLANS WITH OZZ? is a long-term owner of Ozz and intends to invest in and grow these businesses with a view to unlocking their full potential. WILL YOU HAVE A SECURE FUTURE? The Metals Group is a leading industry player. It has been in existence since 1924 and its partnership with the people of Ozz will make it an even greater force. There is a job and an exciting future for every person who wants to make a contribution. HOW WILL OZZ INTEGRATE WITH SCAW? Through s acquisition of Ozz, all current employees of Ozz have become employees of. WHAT WILL HAPPEN TO MY EMPLOYMENT CONDITIONS? All employees have transferred to on their same terms and conditions of employment. WHAT IS SCAW S VIEW OF DIVERSITY? values the diversity and richness of the businesses that become its own and the countries in which it operates. We believe that by drawing on this diversity we will become an even more successful company. We look to build leadership teams made up of multiple nationalities and we are committed to enhancing the number of women working in the industry. CONTACT DETAILS Tel: Fax: WHERE DO I GET ANSWERS TO OTHER QUESTIONS? Please feel most welcome to approach any member of the leadership team should you have any questions or wish to make any suggestions. John Kemble, head of our Human Resources department worldwide, may be contacted on jkemble@scaw.co.za This brochure was produced by Headline News susan@headline.co.za 8