ISG ING Groep NV

International Steel Group to Expand Operations at Cleveland Works With Hot Dip Galvanizing Line RICHFIELD, Ohio, Aug. 5 /PRNewswire-FirstCall/ -- International Steel Group Inc. (NYSE:ISG) announced today that its Board of Directors has approved the expansion of its operations at the Cleveland Works. The Company will add an automotive-quality hot dip galvanizing line by converting its currently idled continuous anneal line. The new line is expected to begin production by the fourth quarter of 2005, and will have an operating capacity of about 500,000 tons per year. The new galvanizing line will support ISG's automotive market growth strategy by providing high-quality, anti-corrosive galvanized sheet steel tailored to automotive applications. The new line will complement ISG's existing automotive coated-product capabilities, enhance its operational flexibility and expand its product offerings. Conversion of the idled continuous anneal line will maximize asset utilization and expedite completion of the new installation. Converting the existing line will be less expensive than constructing a new galvanizing line because most of the existing equipment can be used in the new line. The total cost of the project will be approximately $40 million. "This investment represents a significant step in the growth of our operations at the Cleveland Works," said Rodney B. Mott, ISG president and chief executive officer. "It will strengthen our Company by improving our capability to serve customer needs. It also shows that we have the right people, facilities and products to do the job." An additional benefit is that the workers who will start up the new line will be primarily the same workers who idled the previous line for the former owner, LTV Steel Corporation. The new line will provide at least 50 jobs. "ISG continues to demonstrate its commitment to employees and the community by creating new jobs, taking advantage of market opportunities and operating its facilities profitably," said Mark Granakis, president of United Steelworkers of America (USW) Local 979. "The USW is proud to play an important role in providing the expertise to get this new line up and running." William A. Brake, ISG vice president and general manager, said, "This project is located in a portion of the Cleveland Works that is in the Village of Cuyahoga Heights. The Village of Cuyahoga Heights and the Cuyahoga Heights Schools have expressed their support for the project and we have worked closely with them to structure a package of mutually beneficial economic incentives. I want to express our appreciation for their support, which is an important factor in moving this project to reality." About International Steel Group Inc. International Steel Group Inc. is one of the largest steel producers in North America. It produces a variety of steel products including hot-rolled, cold-rolled and coated sheets, tin mill products, carbon and alloy plates, wire rod, rail products and semi-finished shapes to serve the automotive, construction, pipe and tube, appliance, container and machinery markets. For additional information on ISG, visit http://www.intlsteel.com/ . Forward-Looking Statements Statements in this release that are not historical facts, including statements accompanied by words such as "will," "believe," "expect," "estimate," or similar terms, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward- looking statements involve risks and uncertainties that may cause actual results or events to differ materially from those expressed or implied in such statements. These statements contain time-sensitive information that reflects management's best analysis only as of the date of this release. ISG does not undertake any ongoing obligation, other than that imposed by law, to publicly update or revise any forward-looking statements to reflect future events, information or circumstances that arise after the date of this release. Factors that may cause actual results and performance to differ materially from those in the forward-looking statements include, but are not limited to, negative overall economic conditions or conditions in the markets served; competition within the steel industry; changes in U.S. or foreign trade policy affecting steel imports or exports; changes in foreign currencies affecting the strength of the U.S. dollar; actions by domestic and foreign competitors; the inability to achieve the Company's anticipated growth objectives; changes in availability or cost of raw materials, energy or other supplies; labor issues affecting the Company's workforce or the steel industry generally; and the inability to implement the Company's operating culture and philosophy at acquired facilities. Further information concerning issues that could materially affect financial performance related to forward-looking statements can be found in ISG's filings with the Securities and Exchange Commission. DATASOURCE: International Steel Group CONTACT: Leonard M. Anthony, Chief Financial Officer of International Steel Group Inc., +1-330-659-9100 Web site: http://www.intlsteel.com/

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