Mechel restructured Series 04 bonds

Bondholders have approved by absentee ballot the new restructuring terms for Series 04 bonds (state number 4-04-55005-E dated 14.05.2009). The approved terms include the extension of maturity up to 2021, quarterly amortization of debt until 2021 and the coupon rate being the average between the Central Bank of Russia’s key rate plus 2.5% and a fixed figure determined for each year (annual decrease by 100 basis points from 13.0% to 9.0%).

99.3% of total votes of bondholders eligible for voting on the general meeting supported the aforementioned decisions.

VTB Capital, Gazprombank and Svyaz-Bank acted as the company’s agents for the bonds’ restructuring.