2010 Interim Results

"The Company continues to perform relatively well from a position of financial strength in the prevailing difficult UK market environment.
It is outperforming its competition in terms of operational performance, cost and cash management and contract awards.
The pronounced falls in revenue and margins are as anticipated by the Company and reflect the significant fall in UK demand for structural steelwork.

The Company is pleased with its strong order book of £244 million, which includes the new Terminal 2 contract for BAA at Heathrow, won in competitive tender.
Severfield-Rowen has almost doubled its share of the domestic market, showing the intrinsic strengths of the business against a very difficult trading background.

The UK economy is recovering more slowly than forecast and some sectors in construction face a prolonged challenge.
The key market sectors of power, energy and waste, London commercial offices and infrastructure, present good opportunities in 2011 and beyond.
The Company will continue to take a cautious view of the wider UK recovery and its timing.

The UK structural steelwork sector is now likely to see substantial rationalisation in the next 12 months, leading ultimately to a more balanced supply/demand equation.

Some major international projects in the Middle East remain of interest to the Company beyond the current year, where scale, complexity and timing are distinctive features that are suited to our extensive capabilities.

In India, the joint venture, JSW Severfield Structures, has commenced production on time and the business is successfully winning orders to fulfil its operational plan through 2010.
The Company views the joint venture prospects for growth and success very positively.

The Company is continuously reviewing its UK operational cost base in light of key supply/demand balances and forecasts.
It is optimistic that its forward strategies for the UK and overseas will stimulate growth in shareholder value."

Tom Haughey
Chief Executive Officer

• 2010 Interim Results
• 2009 Interim Report
• 2008 Interim Report
• 2007 Interim Report
• 2006 Interim Results
• 2005 Interim Results
• 2004 Interim Report