Figures relate to first three months of 2013 relative to first three months of prior year.

Duisburg, May 8, 2013 – The first three months saw turnover decline by 11.4% due to very weak demand and portfolio streamlining in Europe as well as less working days in Europe and the US. Sales declined even more steeply by 16.5% due to lower price level. The resulting €41 million decrease in gross profit was partly offset by €26 million in cost savings. It was thus possible to limit the decline in operating income (EBITDA), which was down from €44 million in the prior-year period to €29 million.

Gisbert Rühl, Chairman of the Management Board of Klöckner & Co SE: “We are doing all we can to brace ourselves against the latest dip in the European market. By effecting major cost cuts, we halted the decrease in EBITDA at €29 million. We are pleased to see that our restructuring measures are thus working to full effect, which means that we are sustainably very well positioned.”

Turnover, sales and earnings well below prior year, restructuring measures showing visible impact
Group turnover in the first three months of 2013, at 1.6 million tons, was 11.4% down on the prior-year period (1.9 million tons). Adjusted for the low-margin operations discontinued in the restructuring program, the decrease would have been 8.1%.

Turnover in the Europe segment was 15.8% down on Q1 2012 due to the ongoing difficult economic environment, the long winter, the effects of portfolio streamlining and comparably less working days. Excluding the portfolio streamlining effects, turnover went down by 10.1% against a market drop of 14%.

Turnover in the Americas segment declined by 4.8% year-on-year. The decline in turnover in the US, at 3.5%, was nevertheless smaller than that across the market as a whole, which contracted by 6.6% due to ongoing uncertainties caused by the fiscal and budget problems. Adjusted for the effect of less working days in Q1 2013, turnover in the US is approximately on prior year’s level.

Group sales in the first three months of 2013, at approximately €1.6 billion, were 16.5% down on the prior-year period. Mirroring the trend in turnover and sales, gross profit was down by 11.9% to €303 million and therefore also well below the prior-year figure of €344 million. The fall in gross profit was partly offset by cost cuts totaling €26 million, of which €10 million were attributable to lower turnover and €16 million to the restructuring program. In the first quarter, therefore, the Klöckner & Co 6.0 restructuring program already contributed additional €12 million to EBITDA versus prior year (€16 million through cost cuts less €4 million of gross profit forgone on discontinued low-margin business). The gross profit margin rose accordingly by almost one percentage point from 17.7% to 18.6%.

It was thus possible to limit the decline in EBITDA, which was down from €44 million in the prior-year period to €29 million, and reach the lower end of the forecast range of €30 million to €40 million.

The Group’s net loss for the first quarter of the fiscal year was €16 million (Q1 2012: net loss of €12 million). Basic earnings per share was €–0.16 compared with €–0.11 in the prior-year quarter.

Very strong equity base maintained
Total assets increased by 5.1%, largely due to a seasonal increase in receivables. The equity ratio consequently fell slightly from 39% to 37%. Net financial debt showed a seasonal increase relative to the year-end, going up by €60 million to €482 million. Gearing (net debt/equity) was stabilized at a low level of 35%. Cash resources remain very solid at €663 million. Also our financing position is very robust. End of April our European ABS-program with a volume of €360 million has been extended early on to May 2016.

Restructuring program largely completed
In light of the further sharp decline in European steel demand and the uncertain outlook, Klöckner & Co on several occasions substantially expanded the restructuring program launched in September 2011. Besides cutting administration and sales overhead, the restructuring measures focus on closing unprofitable sites and discontinuing low margin business activities. Since its inception in September 2011, the program has already led to the closure, or in Eastern Europe the sale, of 50 locations and a reduction in the workforce by some 1,600. The measures still to be implemented in our French country organization will likewise be completed in the second quarter once the legal requirements are in place.

In total, Klöckner & Co expects that the restructuring measures will contribute an additional €60 million to EBITDA in the current fiscal year against prior year and another €40 million in 2014, of which €12 million were already attained in the first quarter of 2013. The workforce will be reduced in the course of the measures by over 1,800 or 16% and the number of branches reduced from 290 to approximately 230.

Outlook
Klöckner & Co expects a slight upturn in demand in the second quarter compared with the prior quarter. However, this rise is based primarily on the seasonal improvement in weather conditions and less on a general recovery in underlying demand. The latter will remain largely absent due to increased economic worries in Europe in the spring as well as unresolved fiscal and budget problems in the US. Accordingly, the rise in operating income (EBITDA) will also be moderate, ranging between €35 million to €45 million. As in the previous quarter, the restructuring program, which is now almost fully implemented will make a significant contribution, thereby cushioning the impact of the decline in turnover and earnings due to macro economic conditions.

As Klöckner & Co currently sees no signs of what was originally a widely anticipated pick-up in steel demand in the second half of the year, the full-year guidance for EBITDA of €200 million in 2013 is looking increasingly unrealistic.

Gisbert Rühl: “Hopes of the widely expected economic recovery in the second half of the year are fading. In light of this, it is looking increasingly unrealistic that we will attain our €200 million EBITDA guidance. Even without a recovery, though, we are well-positioned to further boost profitability with self-help measures. Our strong balance sheet and solid financing, will give us the necessary leeway.”

About Klöckner & Co:
Klöckner & Co is the largest producer-independent distributor of steel and metal products and one of the leading steel service center companies in the European and American markets combined. The core business of Klöckner & Co is the warehousing and distribution of steel and non-ferrous metals as well as the operation of steel service centers. Based on the Group's distribution and service network, more than 160,000 customers are supplied through around 240 locations in 17 countries. Currently Klöckner & Co employs around 10,000 employees. The Group had sales of around €7.4 billion in fiscal 2012.

The shares of Klöckner & Co SE are admitted to trading on the regulated market segment (Regulierter Markt) of the Frankfurt Stock Exchange (Frankfurter Wertpapierbörse) with further post-admission obligations (Prime Standard).
Klöckner & Co shares are listed in the MDAX®-Index of Deutsche Börse.

ISIN: DE000KC01000; WKN: KC0100; Common Code: 025808576.

Contact:
Dr. Thilo Theilen – Press Spokesperson
Head of Investor Relations & Corporate Communications
Telephone: +49 (0) 203-307-2050
Fax: +49 (0) 203-307-5025
Email: thilo.theilen@kloeckner.com

Pokropp has a business degree and many years of experience in capital markets. Most recently he was Head of Investor Relations & Public Relations at the SDAX® listed company H&R AG.

About Klöckner & Co:
Klöckner & Co is the largest producer-independent distributor of steel and metal products and one of the leading steel service center companies in the European and American markets combined. The core business of Klöckner & Co is the warehousing and distribution of steel and non-ferrous metals as well as the operation of steel service centers. Based on the Group's distribution and service network, more than 160,000 customers are supplied through around 255 locations in 19 countries. Currently Klöckner & Co employs around 10,600 employees. The Group had sales of around €7.4 billion in fiscal 2012.

The shares of Klöckner & Co SE are admitted to trading on the regulated market segment (Regulierter Markt) of the Frankfurt Stock Exchange (Frankfurter Wertpapierbörse) with further post-admission obligations (Prime Standard).
Klöckner & Co shares are listed in the MDAX®-Index of Deutsche Börse.

ISIN: DE000KC01000; WKN: KC0100; Common Code: 025808576.

Contact:
Dr. Thilo Theilen – Press Spokesperson
Head of Investor Relations & Corporate Communications
Telephone: +49 (0) 203-307-2050
Fax: +49 (0) 203-307-5025
Email: thilo.theilen@kloeckner.com

All figures relate to fiscal year 2012 relative to the prior year.

Duisburg, March 6, 2013 – Turnover and sales increased significantly in the fiscal year, largely due to the acquisition of Macsteel Service Centers USA and strong organic growth in the USA.

Operating income (EBITDA) before restructuring expenditure, at €139 million, was nonetheless substantially down on the prior-year level (€227 million), mainly as a result of the further steep fall in demand in Europe and ongoing price pressure on steel products from the second quarter.

Gisbert Rühl, Chairman of the Management Board of Klöckner & Co SE: “We responded in a timely fashion to yet another steep drop in steel demand in Europe by significantly stepping up our restructuring program. More than two-thirds of the measures are already implemented, so we can start into the new year with a tailwind despite the ongoing challenges in the market environment.”

Turnover and sales increased, earnings significantly down on prior year
Klöckner & Co increased turnover in fiscal 2012, largely as a result of acquisitions, to 7.1 million tons, an increase of 6.1% on the prior year (6.7 million tons).

Turnover in the Europe segment was 6.5% down on the prior year due to the increasing economic slowdown and the ongoing process of discontinuing low-profitability activities, while the market as a whole contracted even further by 9%.

In the Americas segment, by contrast, turnover increased relative to the prior year by 30.8%, driven by the Macsteel acquisition and above-average organic growth. Adjusted for the Macsteel acquisition, turnover went up by 4.9%, significantly outperforming the market (1.3%) and the prior year.

Group sales in the fiscal year came to approximately €7.4 billion, up 4.1% on the prior year. The gross profit margin, at 17.4%, was 1.1 percentage points down on the prior year due to ongoing price pressure. The prior-year figure was almost matched in the fourth quarter, however, at 18.3%. EBITDA before restructuring expenditure consequently fell by 39% from €227 million in 2011 to €139 million. Fourth-quarter EBITDA before restructuring, at €22 million, was in line with guidance and nearly on a par with the €24 million recorded for the prior-year quarter. The Group’s € 198 million net loss (2011: €10 million net income) included €77 million in restructuring expenditure and €55 million in impairments. Without special items, the net loss came to € 83 million. Basic earnings per share stood at €-1.95, compared with €0.14 in the prior year.

Very solid equity base retained
Total assets decreased, mainly through improved net working capital management, by 17% to €3.9 billion. The equity ratio thus went up from 39% to 42% despite the large net loss.

The positive free cash flow allowed net financial debt to be cut by € 49 million year on year to €422 million. Gearing (debt to equity) was stabilized at a low level of 28%. Cash and cash equivalents, at €610 million, remained at a high level despite repayment of the convertible bond that matured in July.

Restructuring progress ahead of plan
In fall 2012, Klöckner & Co once again considerably stepped up the restructuring program first launched in September 2011 in light of a further steep drop in steel demand in Europe and the uncertain outlook. The restructuring progress is ahead of plan.

Alongside cuts in administration and sales overheads, the restructuring measures focus on closing unprofitable branches and discontinuing insufficiently profitable business activities. In the process, 40 locations have already been cut and the workforce has been reduced by more than 1,200 since September 2011. The announced withdrawal from Eastern Europe is also largely completed.

The Group-wide restructuring and optimization program has contributed €51 million to EBITDA since it started in September 2011, €46 million of this in fiscal 2012. Restructuring costs for measures still pending are already included in the 2012 annual financial statements, so no noteworthy negative impacts on income will result in 2013.

Overall, Klöckner & Co expects the restructuring measures to contribute an extra
€60 million to EBITDA in the current fiscal year and another €40 million in 2014. As a result, the number of employees will be reduced in total by more than 1,800 or 16% and the number of sites from 290 to about 230.

Outlook
For 2013, Klöckner & Co expects that turnover and sales will remain at around the previous year’s level due to additional growth in the US and despite the relinquishment of turnover volumes in Europe through the restructuring. The heightened presence in the USA based on the Macsteel acquisition coupled with organic growth perspectives will lead to another shift in sales share from Europe to the Americas, with significantly more than 40% of turnover already to be generated in the Americas segment in 2013.

For operating income (EBITDA), Klöckner & Co anticipates a significant increase from €139 million in the past fiscal year (before restructuring expenses) to approximately €200 million, mainly due to the €60 million earnings contribution this year as an effect of the Group-wide restructuring program. Driven by the operating performance, the Group also expects to generate net income and again a positive cash flow in 2013.

Gisbert Rühl: “With the three directions of thrust comprising growth in the USA, stabilization of profitable and restructuring of the remaining activities in Europe, we have adapted our strategy to the current challenges. As a result, despite the ongoing difficult environment, we are well equipped to increase our earnings power and to continue growing in the USA.”

Stake building of Knauf Interfer Holding GmbH
A meeting was held last Friday between Klöckner & Co and the new shareholder, Interfer Holding GmbH. Interfer Holding, a portfolio company of the Dr. Albrecht Knauf family, is also 100% owner of the Knauf Interfer Group, which likewise operates in the steel sector. Interfer Holding operates independently of the Knauf Gips Group. The meeting took place in a favorable atmosphere. Interfer Holding confirmed its strategic and long-term interest as well as its constructive stance. It firmly believes that
Klöckner & Co is an attractive investment and supports the Klöckner & Co Management Board’s strategy of expanding activities in the USA in parallel with systematic restructuring in European markets. The restructuring is seen as a key prerequisite to generating sustained value in Europe. A contribution of Knauf Interfer or any other link-up with Klöckner & Co was not a topic of the meeting. No further meetings are currently planned.

About Klöckner & Co:
Klöckner & Co is the largest producer-independent distributor of steel and metal products and one of the leading steel service center companies in the European and American markets combined. The core business of Klöckner & Co is the warehousing and distribution of steel and non-ferrous metals as well as the operation of steel service centers. Based on the Group's distribution and service network, more than 160,000 customers are supplied through around 255 locations in 19 countries. Currently Klöckner & Co employs around 10,600 employees. The Group had sales of around €7.4 billion in fiscal 2012.

The shares of Klöckner & Co SE are admitted to trading on the regulated market segment (Regulierter Markt) of the Frankfurt Stock Exchange (Frankfurter Wertpapierbörse) with further post-admission obligations (Prime Standard). Klöckner & Co shares are listed in the MDAX®-Index of Deutsche Börse.

ISIN: DE000KC01000; WKN: KC0100; Common Code: 025808576.

Contact:
Dr. Thilo Theilen – Press Spokesperson
Head of Investor Relations & Corporate Communications
Telephone: +49 (0) 203-307-2050
Fax: +49 (0) 203-307-5025
Email: thilo.theilen@kloeckner.com

Klöckner & Co sees itself strategically well positioned and has recovered from the temporary economic weakness, supported by a comprehensive restructuring program, also reflected in recent months’ share price performance.

About Klöckner & Co:
Klöckner & Co is the largest producer-independent distributor of steel and metal products and one of the leading steel service center companies in the European and American markets combined. The core business of
Klöckner & Co is the warehousing and distribution of steel and non-ferrous metals as well as the operation of steel service centers. Based on the Group's distribution and service network, more than 170,000 customers are supplied through around 260 locations in 19 countries. Currently Klöckner & Co employs around 11,000 employees. The Group had sales of around €7.1 billion in fiscal 2011.

The shares of Klöckner & Co SE are admitted to trading on the regulated market segment (Regulierter Markt) of the Frankfurt Stock Exchange (Frankfurter Wertpapierbörse) with further post-admission obligations (Prime Standard). Klöckner & Co shares are listed in the MDAX®-Index of Deutsche Börse.

ISIN: DE000KC01000; WKN: KC0100; Common Code: 025808576.

Contact:
Dr. Thilo Theilen – Press Spokesperson
Head of Investor Relations & Corporate Communications
Telephone: +49 (0) 203-307-2050
Fax: +49 (0) 203-307-5025
Email: thilo.theilen@kloeckner.com