MECHEL PLACED COMMERCIAL PAPERS OF THE 13 AND 14 SERIES AT A SUM OF 10 BILLION
ROUBLES
Moscow, Russia – September 7, 2010. – Mechel OAO (NYSE: MTL), one of the leading
Russian mining and steel companies, announces placing its commercial papers of
the 13 and 14 series.
On September, 7 2010 Mechel OAO completed two placements of its interest-bearing
commercial papers of the 13 and 14 series with an obligatory centralized custody
(ID serial number 4-13-55005-E of 10.08.2010 - 13 series, 4-14-55005-E of
10.08.2010 - 14 series) at MICEX Stock Exchange ZAO. Placement was performed by
public subscription through collection of offers for fixed-price purchase of
commercial papers and coupon rate for the first coupon period.
The number of the commercial papers placed makes 10,000,000 pieces (100% of the
issue volume), the nominal value of the papers is 1000 roubles each and the
total nominal value of the placed bonds is 10,000,000,000 roubles.
The 1st coupon rate of the commercial papers of the 13 and 14 series is 10.0%
per year which corresponds to a sum of 49.86 roubles. According to the Decision
on the commercial papers issue of the 13 and 14 series and the Prospectus of the
papers, the coupon rate from the 2nd to the 10th coupon is equal to the 1st
coupon rate.
Coalmetbank OAO, Sberbank OAO, AKB Svyaz Bank OAO, Bank of Moscow and OTKRITIE
Investment Bank (JSC) were managers of the placement.
Commercial papers of 13 and 14 series are included to MICEX quotation list A1.
Stanislav Ploshchenko, Mechel’s Chief Financial Officer commented on the event:
“We are satisfied with this placement and we appreciate our investor’s
confidence in Mechel. Raised funds will be used to finance Mechel Group’s
investment projects, in particular the construction of Elga coal mining
complex”.

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Mechel OAO
Ekaterina Videman
Tel: + 7 495 221 88 88
ekaterina.videman@mechel.com
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Mechel is one of the leading Russian companies. Its business includes four
segments: mining, steel, ferroalloy and power. Mechel unites producers of coal,
iron ore concentrate, nickel, steel, ferrochrome, ferrosilicon, rolled products,
hardware, heat and electric power. Mechel products are marketed domestically and
internationally.
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Some of the information in this press release may contain projections or other
forward-looking statements regarding future events or the future financial
performance of Mechel, as defined in the safe harbor provisions of the U.S.
Private Securities Litigation Reform Act of 1995. We wish to caution you that
these statements are only predictions and that actual events or results may
differ materially. We do not intend to update these statements. We refer you to
the documents Mechel files from time to time with the U.S. Securities and
Exchange Commission, including our Form 20-F. These documents contain and
identify important factors, including those contained in the section captioned
“Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements” in our
Form 20-F, that could cause the actual results to differ materially from those
contained in our projections or forward-looking statements, including, among
others, the achievement of anticipated levels of profitability, growth, cost and
synergy of our recent acquisitions, the impact of competitive pricing, the
ability to obtain necessary regulatory approvals and licenses, the impact of
developments in the Russian economic, political and legal environment,
volatility in stock markets or in the price of our shares or ADRs, financial
risk management and the impact of general business and global economic
conditions.