January 2012 - ArcelorMittal
January 2012 - ArcelorMittal
January 2012 - ArcelorMittal
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PAGE 2<br />
Performance Excellence Awards winners celebrate at London<br />
ceremony<br />
Six teams from <strong>ArcelorMittal</strong> sites around the world have won the 2011 Performance<br />
Excellence Awards (PEAs). At a ceremony in London on December 12, representatives<br />
from each of the six winning teams received the award, presented by Mr Mittal, on<br />
behalf of their colleagues.<br />
Sophie Evans<br />
sophie.evans@arcelormittal.com<br />
The winning teams were from <strong>ArcelorMittal</strong> Dofasco (Canada), <strong>ArcelorMittal</strong> South Africa in<br />
collaboration with our Construction business unit, Flat Carbon Europe’s (FCE) Chief Marketing<br />
<strong>January</strong><br />
<strong>2012</strong><br />
Office (CMO)/Integrated Supply Chain, <strong>ArcelorMittal</strong> Poland, <strong>ArcelorMittal</strong> Princeton (USA) and<br />
Shared Services Sourcing. At the London ceremony, the team representatives gave a short<br />
presentation on their projects, showing the hard work and dedication that each team has put in to<br />
make their projects a success.<br />
Presenting the awards to the winners, Mr Mittal said: “Excellence is in our Company’s DNA and<br />
raising the profile of projects and initiatives that embody excellence - such as the one you were<br />
involved in - is an important way of rewarding innovative thinkers within <strong>ArcelorMittal</strong>, and of<br />
inspiring others within the Group.”<br />
In the Health and Safety category, <strong>ArcelorMittal</strong> Dofasco won for its Situational Management<br />
Awareness and Recognition Training (SMART) workshops, delivered to more than 5,000 people in<br />
under a year and playing a key role in cutting the site’s lost time injury frequency rate by half from<br />
2009 to 2010. Having heard about the success of SMART, other sites are now implementing<br />
similar programmes.<br />
In Environment and Corporate Responsibility, <strong>ArcelorMittal</strong> South Africa together with our<br />
Construction business unit won for its school-building programme, run in partnership with the<br />
South African Ministry of Education, to rebuild ten schools in underprivileged areas. The school<br />
buildings use steel construction technology combined with Arval panels to promote the use of<br />
environmentally-friendly building technology. The first school, Meetse-a-Bophelo Primary School<br />
in Mamelodi near the capital city Tshwane, was built at a cost of 4.5 million US$ in under a year.<br />
Winning the Consumer Satisfaction and Margin Generation category, FCE CMO/Integrated<br />
Supply Chain cut the lead time offer for their packaging industry client from eight to nine weeks to<br />
two to three weeks. Relationships with clients have been transformed, and the project is now<br />
being deployed in two more sites. The business case for the project is estimated to be more than<br />
400,000 €.<br />
<strong>ArcelorMittal</strong> Poland won the award for Innovation in Leadership, Management and<br />
Human Resources category for its Site Improvement Program (SIP) that has significantly<br />
reduced fixed costs, resulting in a significant financial turnaround of the business within<br />
just 12 months. In Q2-2009, <strong>ArcelorMittal</strong> Poland’s financial condition was under severe<br />
stress, as a result of the global financial crisis. In response, the management team<br />
launched a transformation program, “Cost Leadership at any Cost”, aimed at restoring<br />
profitability to the operations on a sustainable basis.<br />
The ambition was achieved using a TOP program (supported by FCE Progress Academy)<br />
that focused on operational improvements, and several innovative methodologies used<br />
by the leadership team, which included a programme of effective internal and external<br />
stakeholder management.<br />
In Q3-2010, <strong>ArcelorMittal</strong> Poland achieved cost leadership status within FCE, and is<br />
considered to be the regional cost leader among its peer group of competitors in the CEE<br />
region.<br />
<strong>ArcelorMittal</strong> Princeton won the Operational Excellence category, thanks to a yield optimisation
and expansion plan at its prime process plant. In common with <strong>ArcelorMittal</strong> Poland, before<br />
implementing its yield optimisation programme, the plant was operating below optimum<br />
performance, with low productivity and high maintenance needs. By focusing on increasing the<br />
clean coal yield, plant de-bottlenecking and minimising capital outlays, 71 million € of value were<br />
created – with a capital investment of just 15 million €. The plant increased the clean coal yield by<br />
3%, and the plant’s capacity from 500 tonnes per hour to 800 tonnes per hour.<br />
In the Technical Innovation and Research and Development category, Shared Services Sourcing’s<br />
WebCAS (Consumptions, Arrivals, Stocks) is an innovative supply chain process for raw materials,<br />
and acts as an interface between plants and Shared Services Sourcing. The process optimises<br />
deliveries, stock management and reporting, based on both the actual and forecast situation. The<br />
new WebCAS tool is so successful that its use is being extended to fully support the ordering<br />
process and include other commodities.<br />
The Performance Excellence Awards are held every two years and were established in 2007 as<br />
an important way to encourage and reward performance excellence within <strong>ArcelorMittal</strong>. This year,<br />
a total of 133 entries were submitted. Six judging panels, each with three members drawn from<br />
the Company’s senior management, reviewed the entries and decided on the winners.<br />
For more information on our winning projects, go to www.myarcelormittal.com<br />
PAGE 2<br />
Management convene to determine Health and Safety actions in <strong>2012</strong><br />
Members of our Group Management Board (GMB) and Management Committee (MC)<br />
met in London in December, to dedicate a day’s discussion to Health and Safety, and to<br />
decide on action plans for <strong>2012</strong>. As Mr Mittal told those present, good progress has<br />
been made on the Journey to Zero, but a lot of hard work needs to be done for the<br />
Company to be the safest steel and mining company in the world.<br />
Sophie Evans<br />
sophie.evans@arcelormittal.com<br />
At the beginning of 2011, members of the GMB and MC met in Dofasco, Canada, to spend two<br />
days focusing on why <strong>ArcelorMittal</strong>’s Health and Safety record had suddenly worsened – putting<br />
the company in danger of losing its way on the Journey to Zero. 11 months later, in London, Mr<br />
Mittal gave an update to GMB and MC members on the Company’s Health and Safety<br />
performance: “In Dofasco, we met to find a way to dramatically improve our Health and Safety<br />
performance. I can tell you that we have made progress in the past year and that the key figures<br />
for 2011 have improved”.<br />
There were 26 fatalities from <strong>January</strong> to November 2011, but the year-to-date comparisons<br />
show improvement. There were 39 fatalities over the same period in 2010; 28 in 2009 and 86 in<br />
2008. For lost time injuries (LTI), Mr Mittal announced that the Company is on course to hit the<br />
20% LTI reduction target for 2011. For 2013, the LTI target is to have a frequency rate of less<br />
than one, but this is not the final target, as Mr Mittal explained: “This is only an intermediate step,<br />
since to be among the safest companies in the world, our lost time injury rate needs to be far<br />
lower: between 0.3 and 0.5. And to be the best, it has to be below 0.3”.<br />
The focus of the London meeting was to decide on the action plans for <strong>2012</strong> that will help on<br />
our Journey to Zero. One of the outcomes of the Dofasco meeting was the selection of five key<br />
topics to help hit our Health and Safety targets. Focusing on these topics throughout 2011 has<br />
contributed to the progress made, and delegates in London all agreed that these topics are the<br />
right ones for <strong>2012</strong> and beyond.<br />
Leading by example – by making frequent site visits – is one of the five topics identified in<br />
Dofasco, and is about changing the <strong>ArcelorMittal</strong> leadership style for improved employee<br />
commitment and engagement. “A consistent approach – never walking past a potentially<br />
dangerous situation – is needed by all”, said Mr Mittal.<br />
Strengthening the Journey to Zero is another of the five topics, and addresses the challenge of<br />
embedding Health and Safety in the Company’s core values. For <strong>2012</strong>, MC members decided one<br />
of the key focus areas within this theme should be shared vigilance – looking out not just for your<br />
own safety, but also the safety of all those working around you.<br />
<strong>ArcelorMittal</strong>’s Fatality Prevention Standards have been shared with all employees – and the<br />
standards, which are the third of the five key topics, were the focus of much discussion in London.<br />
“Good progress has been made in implementing them. But we must continue to focus on these<br />
standards: all sites must be applying them systematically, and no deviation from the standards<br />
should be tolerated”, said Mr Mittal. There are a number of Top Priority Sites when it comes to<br />
fatality prevention and in addition, there are a set of ‘Red Sites’ that are not performing well on LTI<br />
progress and severity rate, which will be the focus of closer attention in <strong>2012</strong>.<br />
Contractors – and their Health and Safety - are the fourth key topic, and were the subject of<br />
detailed discussion. Fatalities are still three times higher than with <strong>ArcelorMittal</strong> employees. MC<br />
members in <strong>2012</strong> will oversee a systematic roll-out of all the steps in the Contractor<br />
Management standard.<br />
The fifth topic, using leading indicators, is about knowing and understanding all the figures, so<br />
that preventative measures can be taken before things go wrong. For <strong>2012</strong>, the focus will be on<br />
fostering a culture in which people are prepared to report their errors and near hits.<br />
Frank Haers, Vice President and Head of Corporate Health and Safety summed up the mood in<br />
London, setting the tone for the year ahead: “To repeat Mr Mittal’s message on our progress – it is<br />
good, but not great; further work is needed given the targets we have set. Even in the more<br />
difficult periods, which <strong>2012</strong> is likePage 3ly to be, we must not deviate from our goal of being the<br />
safest steel and mining company. As we approach <strong>2012</strong>, please make sure the Journey to Zero is<br />
at the forefront of your plans for the coming year.”<br />
PAGE 3<br />
CEO Message<br />
Dear Colleagues,<br />
Let me first wish you and your families a very healthy, safe<br />
and prosperous new year. <strong>2012</strong> started on quite a positive<br />
note. Our products are in demand and the selling prices are<br />
growing, though not yet to such an extent that would enable<br />
us to be overly optimistic. The capacity over-hang and<br />
uncertain demand in our core markets as well as aggressive<br />
behaviour of our regional competitors require us to continue<br />
stringent cost management and to provide best in class<br />
customer service. Important is that we have reached an<br />
agreement with Evraz Vítkovice Steel on hot metal supplies for<br />
the first quarter.<br />
The beginning of the year is marked by changes. The<br />
Voluntary Separation Scheme is taking place in <strong>January</strong> to<br />
improve productivity. It enjoys a greater interest than individual plants and departments are able<br />
to absorb. I am happy that we are able to provide such means that can help our employees ease<br />
the situation when they leave the Company. After the reorganisation following the VSS we will<br />
need to learn to operate with fewer people, but will have to ensure safety at work. We will need to<br />
be very flexible in our market approach to keep our market share, which is very challenging,<br />
especially now that the ongoing European crisis brings about curtailment of construction activity<br />
as well as other restrictions that may affect our business.<br />
Another change is the departure of our COO Hans-Ludwig Rosenstock, who has now become<br />
COO at <strong>ArcelorMittal</strong> South Africa. He has been succeeded by Dirk Stroo, who has come from<br />
<strong>ArcelorMittal</strong> Gent in Belgium, so widely discussed a topic in Ostrava with regard to this Company.<br />
I am convinced that he will help us to come close to the West European standard in all aspects.<br />
I take this opportunity to welcome him in our Company and I hope that all of us will provide him<br />
with the support he may need in his new assignment.<br />
Other news regarding this Company is that 27 employees of the hardware section of the IT<br />
department have been transferred to CSC as part of a transnational outsourcing project our units<br />
in the Czech Republic have joined. In late <strong>January</strong> we will know the results of the tender for<br />
a catering services provider and a reconstruction of the canteen kitchen at the Headquarters will<br />
start.<br />
Many things will remain unchanged, though. We will continue to meet our commitments to<br />
reduce our environmental footprint. We will keep supporting and taking part in many community<br />
projects, such as the minigrants or corporate volunteering. I have learned that last year 2057 of<br />
you were involved in various volunteering activities and that we supported 42 227 local people<br />
through the projects identified by you that were awarded the minigrants. And I am very proud of<br />
you for that. You will have my continuous support so that we can do even better this year.<br />
With kind regards,<br />
Tapas Rajderkar<br />
Call CEO<br />
Has the tender for the catering company been closed? If so, what is the result?<br />
The tender to select a catering services provider is now under way. 5 companies are taking part:<br />
Aramark, Čavojská, GTH, Eurest and Sodexho. The tender will be closed by the end of <strong>January</strong> and<br />
employees will be informed of the results.<br />
AMO supports blood donation, shouldn’t then the external companies working for<br />
AMO support it, too? I mean especially by accepting the compensatory leave that the<br />
blood donor is entitled to?<br />
AMO has been supporting voluntary blood donation for a long time as we consider it to be<br />
a right and useful thing. On the other hand, we cannot force other companies, though they may be<br />
operating in our premises, to adopt the same approach.<br />
GMB and MC Health and Safety meeting - Message to Employees<br />
Dear colleague,<br />
As you all know, our goal is<br />
to become the safest steel and<br />
mining company in the world.<br />
This is an ambitious goal that<br />
requires hard work and<br />
dedication. I last wrote to you<br />
about Health and Safety in<br />
October, in my quarterly<br />
results communication, and am<br />
writing now with a progress<br />
update.<br />
I recently convened all the<br />
members of the GMB and<br />
Management Committee in<br />
London, to dedicate a day’s<br />
discussion and debate to our<br />
top priority: Health and Safety.<br />
This meeting was a follow-up<br />
to the first Health and Safety<br />
summit we had, at<br />
<strong>ArcelorMittal</strong> Dofasco in<br />
<strong>January</strong> 2011, where we<br />
discussed the serious topic of<br />
fatalities and injuries at our<br />
plants and mines.<br />
The trigger for that meeting<br />
was a poor Health and Safety<br />
performance in 2010, when<br />
we sadly had a higher number<br />
of fatalities compared to 2009.<br />
As I said at the time, we were<br />
in serious danger of losing our<br />
way on the Journey to Zero.<br />
The organisation did not seem<br />
to be learning from its mistakes<br />
as we were seeing the same<br />
type of accidents time after time. In Dofasco, we met to find a way to dramatically improve our<br />
Health and Safety performance. I can tell you that we have made progress and that the key figures<br />
for 2011 have improved.<br />
There have been 26 fatalities in 2011 so far. In 2010 there were 39 fatalities over the same<br />
period; in 2009 there were 28 and in 2008, 86. Each fatality is the loss of a valuable life and we<br />
have to do our utmost to make sure that this will not increase before the end of the year. While<br />
the year-to-date comparisons show improvement, we are far from the only acceptable number:<br />
zero.<br />
For LTI, we are very close to hitting our 20% LTI reduction target for 2011. In our third quarter
esults, we reported that the LTI rate was 1.5. For 2013, we have set ourselves a target of having<br />
an LTI frequency rate of less than one. However, this is only an intermediate step, since to be<br />
among the safest companies in the world, our lost time injury rate needs to be far lower: between<br />
0.3 and 0.5. And to be the best, it has to be below 0.3.<br />
There are a number of good news stories from sites around the world which serve as inspiration<br />
for efforts to achieve our 2013 target, for example Gent’s coke operations, Tubarao’s performance<br />
on contractors’ health and safety, iron ore mines in Brazil with no LTI in 19 years and the Jubail<br />
project in Saudi Arabia where there has been only one LTI in almost 9 million man hours worked.<br />
However there are a number of sites which have a long way to go. To name a few, <strong>ArcelorMittal</strong><br />
Distribution Solutions has a high frequency rate, especially in its TOP and Distribution businesses.<br />
In the USA, the flat operations have high frequency rates including Indiana Harbor and Burns<br />
Harbor; <strong>ArcelorMittal</strong> USA has had a LTIFR above 3 in recent years.<br />
One of the outcomes of the Dofasco meeting was the selection of five key topics to help us<br />
achieve our goals, and make quick, strong, sustainable progress. Focusing on these topics has<br />
helped us in 2011, and at our recent Health and Safety meeting, we all agreed that these topics<br />
are still the right ones to help us achieve our goals in <strong>2012</strong> and beyond. Even in the more difficult<br />
periods, which <strong>2012</strong> might well be, we will not deviate from the target and principle of becoming<br />
the safest steel and mining company.<br />
Lakshmi N. Mittal<br />
Chairman and CEO, <strong>ArcelorMittal</strong><br />
PAGE 4<br />
Sheltered workshops carried away from Christmas markets record sum<br />
Our employees are still more interested in the Christmas markets. Through their<br />
shopping they contributed to nine different NGOs from Ostrava and its vicinity with<br />
a sum exceeding 100.000 crowns.<br />
“I am very pleased by<br />
the increasing interest of<br />
our employees in this<br />
charitable activity. It is<br />
also reflected in the<br />
revenues which were this<br />
time truly record<br />
breaking,” evaluates the<br />
successful cooperation<br />
Monika Pencikova, Head<br />
of Corporate<br />
Responsibility team.<br />
Over two days the<br />
sheltered workshops<br />
offered products of their<br />
clients. Employees were<br />
interested the most in<br />
ceramics, candle sticks,<br />
hand made decorated<br />
mugs or cloth products. The<br />
sight challenged masseurs<br />
from Tyflo center in Karvina<br />
took part in the event for the<br />
very first time. The blind<br />
physiotherapists offered<br />
medicinal as well as wellness<br />
massages. Our employees<br />
could also support them by<br />
purchasing a variety of<br />
products and massage oils.<br />
Sheltered workshops<br />
present at the Christmas<br />
market:<br />
Charita Hlučín – sociálně<br />
terapeutická dílna<br />
Ludgeřovice<br />
Charita Opava – chráněné<br />
dílny<br />
sv. Josefa<br />
Effatha Krnov – sociálně<br />
terapeutické dílny<br />
Chráněná dílna Kaštanový<br />
krámek<br />
TyfloCentrum ČR Karviná<br />
CHRPA – sociální firma Slezské<br />
diakonie<br />
Charita sv. Alexandra<br />
Třezalka Candle.<br />
Volunteers from Maintenance – skillful helpers who are always<br />
welcome to Diacony<br />
A group of volunteers of Maintenance plant pays a regular visit to Special needs elementary<br />
school of ČCE Diacony. Their help is evident almost at every corner – from gravel parking lot,<br />
cleaned-up garden or a brand new barrier-free access to the gym. Its reconstruction and railing<br />
replacement was their last contribution in November. Moreover, the nine member team of<br />
volunteers managed to clean up the vast school garden. They were raking leaves, cleaning gutters,<br />
laying concrete, welding railings etc. “I don’t know how we would have manage that without their<br />
help. There is o lot of work here and we are so few,” confesses principal Irena Savková.<br />
Even the CEO Tapas Rajderkar came to see the volunteers. He highly appreciates volunteering<br />
and fully supports it. „Only the financial support of the charitable activities is not enough. It is<br />
necessary to take an active part in life of our communities and help where it is needed.<br />
PAGE 5<br />
Diacony Náruč’s acknowledgements for gathering<br />
Thanks to the gathering of your colleagues from <strong>ArcelorMittal</strong> Energy Ostrava we could buy<br />
many beautiful Christmas gifts for our children but also many cognitive and board games which we<br />
gave to children as collective gifts. So, please accept my great acknowledgement. If it was not for<br />
your financial gift our Christmas would be very modest as we would have to rely just on our<br />
monthly budget which is very thin.<br />
Lenka Gurecká<br />
Manager of Diacony ČCE Náruč<br />
“I speak fast and take decisions fast as well”, says new COO<br />
<strong>ArcelorMittal</strong> Ostrava has a new COO since <strong>January</strong> 1, <strong>2012</strong>. The forty-eight-year old<br />
Dirk Stroo of <strong>ArcelorMittal</strong> Ghent in Belgium replaces Hans-Ludwig Rosenstock, who is<br />
leaving to take up the same position at our steel plant in South Africa.<br />
Ivo Štěrba<br />
ivo.sterba@arcelormittal.com<br />
What are your first impressions of Ostrava’s facility, the city or the Czech Republic?<br />
Have you been here before?<br />
No, it is my first time to Ostrava and the Czech Republic. The only thing I know so far is the way<br />
from the airport to steel plant and from the mill to the hotel.<br />
I am sorry but the Czech Republic is an unknown country for me. When I was asked to become<br />
the new COO of Ostrava my first question was which country is that. I have traveled o lot to Italy,<br />
Spain, France or Germany but never in that direction up to now.<br />
So, what was your reaction when you were offered this position?<br />
When the Business Unit North Director called me one November evening and asked whether<br />
I would be interested in taking the COO position in Ostrava I was very surprised because I did not<br />
ask for working abroad. Before I made the I discussed it with my wife and after a few days we both<br />
agreed to go for it. Then I went to Ostrava to make a tour in the plant and I was very fast<br />
convinced “yes, I’d like to work over there”.<br />
Has your family moved to Ostrava with you?<br />
Not yet. My wife is staying with our three children in Brugge which is an old medieval town<br />
located about 45 km north west of <strong>ArcelorMittal</strong> Ghent. But I am looking for an apartment in<br />
Ostrava so that they can come over and stay with me during their school holidays, for the first<br />
time at the end of February. Then we would like to travel around and explore Ostrava and the<br />
Czech Republic a little bit more. It is important for me to learn more not only about the steel plant<br />
but also about the country, Czech culture, and history.<br />
Ostrava is often criticized by the journalists for being the major polluter in Ostrava and<br />
sometimes they make comparison between the steel plant in Ostrava and in Ghent. What<br />
is your opinion as someone who knows both sites?<br />
I think people should not overestimate Ghent and underestimate Ostrava. Both of them have<br />
similar problems. For something Ghent already has solution, for other things Ostrava has solutions.<br />
The Ostrava’s plant is sixty year old while in Ghent it is fifty years old. I would not say that Ghent is<br />
looking better than Ostrava. For example the new dedusting system which you commissioned in<br />
October is even more efficient technology that the one used in Ghent. So, generally there are no<br />
big differences between these two sites.<br />
Did you have a chance to taste some Czech dishes?<br />
I had a few dishes at the hotel. I must say that they are a bit heavy. But I am open to all kinds of<br />
food and like tasting dishes that I don’t know.<br />
Czechs are well-known for its beer. Do you like it?<br />
So far, I have tasted only a beer from the microbrewery at the castle in Ostrava-Zábřeh during<br />
the farewell party with Mr. Rosenstock. And I liked it.<br />
How would you describe yourself? I am used to make quick decisions. I speak fast and also<br />
make decisions quickly. Sometimes I may be a little bit impatient but I am also optimistic by nature.<br />
I would not say that Ghent is looking better than Ostrava. For<br />
something Ghent already has solution, for other things Ostrava has<br />
a better solution. Generally, there are no big differences between<br />
these two sites.
Dirk STROO (48)<br />
Family: married, three children (10, 12 and 14 years old)<br />
Education: University in Ghent, Civil Engineer in Mechanics<br />
Native language: Dutch<br />
Language skills: English, French and German<br />
Career: Working for the Group since 1989 (Arbed then),<br />
Since 2007 Director of Raw Materials, Harbour, Transport and<br />
Transport Plant<br />
Hobbies: biking, running with two sons, active holidays, (exploring new countries, cultures)<br />
Favorite singers: Celion Dion or Enya<br />
Favourite dish: fish<br />
Life motto: “Every cloud has a golden rim” or “A smile does not cost any money”<br />
The best 5S workplaces<br />
Since 2010 we have been gradually implementing the 5S method. By the end of last year this<br />
method which leads to high efficiency, process standardization, cleanliness and safety has been<br />
implemented at 53 workplaces across all plants. As a way of acknowledgement we evaluated five<br />
best workplaces and rewarded selected employees who contributed a great deal to 5S<br />
implementation.<br />
The best 5S workplaces:<br />
Steel shop – ZPO2 Casting<br />
platform<br />
Blast furnaces – BF4<br />
meltshop South<br />
Coke plant – Corporate coke<br />
center<br />
Maintenance plant –<br />
weighing machine repair<br />
Rolling mill – HCC saw<br />
grinding mill and paint stock<br />
Last year was a record-breaking for continuous improvement<br />
The number of submissions as well as bonuses paid to employees surpassed last year level. The<br />
company paid the employees nearly one million crowns for their ideas and CI initiatives. Most of<br />
them have been submitted at Rolling Mill (90) and Steel shop (56). The most active employees<br />
were primarily the maintenance workers at all plants who came up with a total of 62 ideas.<br />
Furthermore the company awarded the following best innovators:<br />
Maintenance plant - Libor Bystroň<br />
Transport plant - Ladislav Ševečka a Lubomír Minks<br />
Coke plant – Lumír Žabenský<br />
Blast furnaces - Rostislav Vaněk<br />
Steel shop – Alfréd Kosák<br />
Rolling mill – Robert Mokroš, Rostislav Fiža, Josef Šodek, Kamil Szop a Petr Jodlovský<br />
Did you know?<br />
That the bag filter dedusting which we have commissioned in all three sintering belts of sinter<br />
plant North last October is capable of even the finest dust particles? It is the best available<br />
dedusting technology in the world developed specifically for sinter plants. As the data provided by<br />
the supplier LÜHR Filters show this device is able to collect dust of all sizes, so both the crude and<br />
the finest (called PM10, PM 2,5 and PM 1). The filters are thus able to collect 99,9 % of all dust.<br />
Figure of the month:<br />
131 115 245<br />
So many tons of pig iron were produced at blast furnaces from 1952 till the end of 2011.<br />
PAGE 6<br />
The best employees of fourth quarter<br />
Jiří Hlaváček – Coke plant<br />
Jiří Balogh – Coke plant<br />
Nikola Volcis – Coke plant<br />
Miroslav Gajdoš – Blast furnace<br />
Radim Šupík – Blast furnace<br />
Vladimír Gurecký – Blast furnace<br />
Jiří Vogel – Steel shop<br />
Lubomír Batko – Steel shop<br />
Jan Pastorek – Steel shop<br />
Jiří Piskoř – Rolling mill<br />
Petr Koutný – Rolling mill<br />
Ivo Hanáček – Rolling mill<br />
Michael Bouček – Maintenance plant<br />
Bohuslav Prchal - Maintenance plant<br />
Petr Palkovský – Maintenance plant<br />
Pavel Mikolajek – Maintenance plant<br />
Vlastimil Polach – Transport plant<br />
Pavel Jurkech – Transport plant<br />
Tomáš Mosler – Headquarters<br />
Petr Grmela – <strong>ArcelorMittal</strong> Energy Ostrava<br />
Tomáš Ostárek - <strong>ArcelorMittal</strong> Energy Ostrava<br />
Miroslav Tekenöš - <strong>ArcelorMittal</strong> Energy Ostrava<br />
Pavel Ficek – <strong>ArcelorMittal</strong> Engineering Products Ostrava<br />
Petr Kabát - <strong>ArcelorMittal</strong> Engineering Products Ostrava<br />
Stanislav Pacourek - <strong>ArcelorMittal</strong> Engineering Products Ostrava<br />
Video will inform visitors about potential risks<br />
The Health and Safety team comes with a new initiative from the beginning of the new year. The<br />
visitors to our site and subsidiaries will learn about the safety rules through two short instruction<br />
videos which have been prepared by our H&S team and external company. Employees responsible<br />
for safety training of visitors and subcontractors can watch the videos on the intranet under ŘB –<br />
Chief Health and Safety Officer section. The video is also available on our website. You can find<br />
them among H&S materials for subcontractors.<br />
PAGE 7<br />
Manufacturing 19 castings for Indian customer<br />
Later in December last year 19 castings of steelmaking machinery left the gates of our<br />
<strong>ArcelorMittal</strong> Engineering Products Ostrava foundry.<br />
It is a unique order representing 720 tons for a new customer which our foundry got thanks to
exquisite credentials by Vítkovice Heavy Machinery. Our foundry is for many years its nearly<br />
monopoly supplier of steelmaking accessories,“ explains operation manager Petr Motyčka. A total<br />
of 19 castings of 11 different types, including molds weighing from 20-75 tons. The castings<br />
were manufactured from the pig iron supplied by Blast furnaces. The hot metal was then adjusted<br />
according to requested chemical composure on the premises of Foundry. All castings were<br />
subsequently treated at operation 21 and the bigger ones exceeding 40 ton in cooperation with<br />
Vítkovice Heavy Machinery. All 19 casting were then shipped to Hamburg and then by sea all the<br />
way to India.<br />
Last year highlights<br />
<strong>January</strong> – 500,000 CZK<br />
Such an amount <strong>ArcelorMittal</strong> Ostrava and its<br />
subsidiary from Frýdek-Místek gave the secondary<br />
technical school in Frýdek-Místek to be spent on new lab<br />
equipment.<br />
February - 60 milion CZK<br />
That is a value of the new technology for<br />
condensation at Coke plant which prevents dangerous<br />
liquids from leasing into the ground and underground<br />
waters.<br />
March – 1000<br />
Nearly so many female employees who work at our<br />
company at various positions received a pair of earrings,<br />
box of chocolates and a card with a wish of CEO on the<br />
occasion of the International Women’s Day.<br />
April - 56 000<br />
So much money went to seven sheltered workshops<br />
for products of their clients during Easter markets which<br />
were held on the company premises.<br />
May – 2,300,000<br />
Such an amount <strong>ArcelorMittal</strong> Ostrava donated to<br />
Technical University of Ostrava on support and<br />
development of education.<br />
June – 1<br />
This prestigious rank gained our company in the Best<br />
Employer of the Moravian-Silesian Region Contest for<br />
the second time already.<br />
July – 808 188<br />
So much money generated participants of Dance for<br />
Life contest held in the <strong>ArcelorMittal</strong> Ostrava tents at<br />
Colours of Ostrava and Festival in the Streets.<br />
August – 1,200,000 CZK<br />
Such a cost saving brought an CI idea applied at five<br />
cranes at Rolling mill which enables to mount safetycatch<br />
on existing hooks which would prevent load from<br />
slipping off.<br />
September – 600 000 CZK<br />
So much money cost a minivan Peugeot Boxer which<br />
our company donated to the borough and Fire Brigade in<br />
Radvanice and Bartovice.<br />
October – 70%<br />
So much less dust is collected by the new high<br />
efficient bag filters at sinter plant North. Only six<br />
companies in Europe can take pride in this best available<br />
technology in the world.<br />
November – 31 millions<br />
So much money <strong>ArcelorMittal</strong> Ostrava, <strong>ArcelorMittal</strong><br />
Energy Ostrava and <strong>ArcelorMittal</strong> Engineering Products<br />
Ostrava paid in bonuses for work performance.<br />
December – 101 044<br />
Such an amount employees of <strong>ArcelorMittal</strong> Ostrava<br />
donated on charity within Christmas markets of<br />
sheltered workshops which took place at the premises of<br />
our company.<br />
PAGE 8<br />
Workshop 5S – thorough preholiday cleaning done by men<br />
In late November quite uncommon group of people made out of operators,<br />
maintenance staff and management of our company met at the Arnold section line. In<br />
spite of this difference they had one in common – active participation in 5S workshop.<br />
At the end of <strong>2012</strong> a 5S workshop was held at Crash barrier operation. This time we focused on<br />
the Arnold section line producing crash barriers. More than 30 people across the whole company<br />
took an active part in it. The level of housekeeping was on a high level here even before the<br />
workshop. In spite of this a lot of work has been done here. Certainly many people understood<br />
thanks to this event that the 5S is not just about one-off clean-up but also about a setting a long<br />
term and sustainable system. The out of the event is positive. Besides an in-depth clean-up a lot<br />
of innovative ideas on H&S, operation and maintenance appeared. We already have one for the<br />
next workshop. As one of the participants mentioned there were fewer ladies involved. I promise<br />
we will do better and get engage more female colleagues in the next workshop.<br />
Supporting floorball tournament for kids from Children homes<br />
Later in November Havířov-Podlesí hosted a Children’s Home tournament called Florbal Cup<br />
2011 and the management of our company was there.<br />
The floorball tournament was held by Children’s home and School cafeteria Havířov- Podlesí and<br />
children’s homes from<br />
the vicinity took part in<br />
it. Thanks to our<br />
company the Children’s<br />
home in Havířov<br />
received a symbolic<br />
cheque worth of<br />
10 000 CZK to be used<br />
on the support of the<br />
tournament. CEO of our<br />
company Libor Černý<br />
presented the cheque<br />
to Director of the<br />
Children’s home from<br />
Havířov-Podlesí<br />
Ladislava Hilbertová.<br />
„Our kids did not defend the cup this year as the winners were the children from Radkov-<br />
Dubová children’s home. In spite of that everybody enjoyed the sporting event and that is what<br />
mattered. Especially thanks to you all participants received nice presents so they were happy when<br />
they were leaving.<br />
Awarding the best employees of fourth quarter 2011<br />
Karel Smolka Petr Kirchner Martin Tasler<br />
Figure of the month:<br />
76 217 So many tons of mine supports were produced at our company in 2011. It is the<br />
highest volume over the last 13 years.
PAGE 9<br />
Raised money will go to charity<br />
In mid December employees of <strong>ArcelorMittal</strong> Frýdek-Místek went to a Christmas<br />
concert. They had a wonderful time at the Frýdek castle along with their customers,<br />
enjoyed beautiful music, tasted Christmas cookies and furthermore contributed to the<br />
charity.<br />
It has been a second consecutive concert held for employees and invited guests. But this time<br />
visitors contributed to the charity by voluntary entrance fee. The concert was organized in<br />
a cooperation with Janáček’s conservatory and high school in Ostrava. People could hear<br />
Renaissance compositions of 17 century, contemporary music as well as Christmas carols. The<br />
raised money worth of 5100 crowns was consequently handed over to the Charity in Frýdek-<br />
Místek. It will be used for the support of Frýdek-Místek’s and Frýdlant’s Charity Centers of Social<br />
Services.<br />
Employees went skating together<br />
In early <strong>January</strong> favourite New Year’s skating took place for the seventh time already. The<br />
traditional sports event for employees and their families was held at the usual venue –<br />
Multipurpose sports hall in Frýdek-Místek. Gathering on an ice ring attracted lots of avid skaters<br />
from children to adults. Even the COO took part in the event. Thanks to all for participation. In<br />
<strong>2012</strong> you can look forward to other events organised by HR department.<br />
Voluntary blood donors awarded by Czech red Gross in 2011<br />
Golden Cross of I class<br />
Miroslav Bartolšic –<br />
160 donations<br />
Golden Cross of II Class<br />
Milan Frýdecký –<br />
120 donations<br />
Golden Cross of III class<br />
Roman Kaláb –<br />
80 donations<br />
Aleš Pustka –<br />
80 donations<br />
Luděk Pavlík –<br />
80 donations<br />
Gold medal of Dr. Jánský<br />
Jaromír Theuer –<br />
40 donations<br />
Silver medal of Dr. Jánský<br />
Josef Ručka –<br />
20 donations<br />
PAGE 10<br />
Jitka Šrubařová: it seems that I am related to first lady<br />
Livie Klausová, wife of Czech president met at Prague’s castle in November last year<br />
with blood donors who donated their blood 160 times and without any claim to be paid<br />
for it. 20 blood donors from all over the country have been invited to this special event.<br />
One of them was Jitka<br />
Šablaturová, grinder from the<br />
roll turn shop of <strong>ArcelorMittal</strong><br />
Engineering Products Ostrava.<br />
What made you donate<br />
blood?<br />
I started donating blood back in<br />
1963. My sister in law whose<br />
mother was supposed to go in for<br />
an operation came to me and told<br />
me that she needed blood donors.<br />
So our whole family went to<br />
donate blood. Then I carried on<br />
with it. I went to donate blood<br />
every four month. Later on I was<br />
asked at the Blood center whether I would be open to donate plasm. So since the, I go donating<br />
plasm about twenty times a year.<br />
What is it like to be among twenty selected donors and get an invitation to Prague’s<br />
castle?<br />
I was surprised and very excited as it is a once in a life time experience. When we arrived at<br />
Prague’s castle we were all personally welcomed by the first lady who thanked us. She also handed<br />
over to everybody a little present and a photograph with personal inscription. Then a concert and<br />
reception followed. Mrs. Klausová was with us all the time. She talked to everybody during the<br />
reception. For example we found out that we are related. Her grand father was called Šablatura<br />
and came from Slovakia where my family also has its roots. In the end we took a tour of castle’s<br />
premises which are not accessible to the public. I liked it very much.<br />
Do you go to donate blood alone or do you go at your workplace as a team?<br />
I am very happy that our company supports blood donation. Mostly I go alone but I know many<br />
people from work who donate blood on a regular basis. There are three of us in our team who<br />
reached 160 donations and currently we are getting close to 200 blood donations.<br />
During this year 100 minutes for life I didn’t managed to gain new donors from my coworkers.<br />
But when mu daughter turns 18 I am going to take her to the Blood center with me.<br />
What message would you say to the readers of One magazine?<br />
My life motto is: Donate blood, you save life. I would like to encourage all not to linger if they are<br />
healthy and can help as they can really save somebody’s life.<br />
Red scorpions proved good for the very first time<br />
During December medium repairs of Stiefel 140 mm new position of so called Red<br />
Scorpions was set up at <strong>ArcelorMittal</strong> Tubular Products Ostrava. Four employees took<br />
turn at this position, foreman of the rolling mill Oldřich Hrubý, maintenance foreman Petr<br />
Ivánek and safety technicians Miloš Bartusek and Jakub Trpiš.<br />
The red scorpion program comes from South Africa (that is why it has this exotic name) and in<br />
our case it meant that each part of the challenging repair was supervised by one of the scorpions.<br />
They paid a special attention to adherence to safety procedures, PPE use and pointed out to<br />
possible risks that could endanger health of our employees as well as subcontractors. All scorpions<br />
were authorized to stop any work activity to prevent an accident. Fortunately they used this<br />
power only a few times. At first employees had to get used to them and did not know what they<br />
can expect from them. After a few days the nervousness disappeared and the cooperation<br />
between employees and scorpions was flawless. Both groups appreciated the program and it is<br />
likely that the program will be used during bigger repair works as well. Next time it can be the<br />
medium repair of Stiefel 4-10 which is ahead of us this year.
PAGE 11<br />
Sheltered workshops brought from Christmas markets 25 000 crowns<br />
In mid December the big conference room at <strong>ArcelorMittal</strong> Tubular Products Ostrava hosted<br />
Christmas markets. Seven sheltered workshops from Ostrava and its vicinity took part in this<br />
charitable event. CEO of our company Otto Mischinger was one of the visitors. The revenues of<br />
the NGOs which sold products of its handicapped clients amounted to 25. 000 CZK.<br />
Looking back to Volunteering Day. Table tennis players took a role of<br />
painters<br />
Table tennis players Zdeněk Demek, Lenka Holušová and Marian Hájko from<br />
<strong>ArcelorMittal</strong> Tubular Products Ostrava got engaged in the charitable activities related<br />
to the Global Volunteering day.<br />
A group of employees of <strong>ArcelorMittal</strong> Tubular Products Ostrava, <strong>ArcelorMittal</strong> Energy Ostrava<br />
and <strong>ArcelorMittal</strong> Distribution Solutions helped to repaint and clean up premises of table tennis<br />
playroom at the Sports Club for the wheelchair bound in Ostrava with which they cooperate for<br />
a long time.<br />
One of their regular activities are sporting events for the handicapped, social balls for the<br />
handicapped, collective voluntary blood donation and assistance to the handicapped during their<br />
transport to matches.<br />
Do you know that in 2011 a total of 989 employees took an in-house training in assistance with<br />
training department of our mother company. They spent 9668 hours at the courses.<br />
PAGE 12<br />
There is a big difference between production in the 50-ties an<br />
nowadays, recalls a steelmaker who blew-in first blast furnace<br />
Sixty years passed from the moment when the first blast furnace was blown-in. Back<br />
then a nineteen years old steelmaker Stanislav Najvert handed over a torch with flame<br />
from Vítkovice mill to the prime minister, Antonín Zápotocký. Even after sixty years he is<br />
still spry and smiling chap full of energy for whom the mill is and always will be close to<br />
his heart.<br />
How do you remember the times when sixty years ago you were handing over the torch<br />
to Antonín Zapotocký to blow-in the very first blast furnace?<br />
The fact that I should be handing him the torch I learned about just a few days before. Of course<br />
I was surprised. But in fact it was no big deal. After I passed him the torch and he blew-in the<br />
furnace he turned around and left. So we did not speak together.<br />
How did the work at blast furnaces change since you worked here?<br />
There is a big difference between production and way of work back then and now. At present<br />
they use a lining which has a long life time. When I worked we had to make the gutter through<br />
which the pig iron flows manually and it took us about two hours. Then it had to dry up and be<br />
hardpacked. Today the whole thing is being removed and it is done. During the taping we used<br />
a compressed air hammer which had to be carried by four men. It was drudgery. Now it is done<br />
automatically by a machine. Simply, today’s work can’t be compared with the past.<br />
Did you have any energy left after work for something else?<br />
You may be surprised but before I lost my fingers during an injury at blast furnace I boxed. Even<br />
in front of the public. Once I had a match in Poruba and right after that I had a night shift. My face<br />
was burning so that I had to wipe it with a wet towel. That shift was an ordeal for me. But wasn’t it<br />
for the accident and my wife who did not like it I might have carried on with the boxing.<br />
At the time when you worked at the mill were fatalities common at blast furnaces?<br />
Of course they were. Poising often happened. I often went to inhale oxygen from oxygen<br />
cylinders which we had there available. Blood got oxidated then and one could go on with work.<br />
But there were a lot of the poisoning and lots of fatalities too. The worst one I remember<br />
happened to one of my colleagues. The pattern burst and he was putting down the fire and the pig<br />
iron overflew him. It was horrible.<br />
The environment is often discussed these days and it is said that the air is much worse<br />
in Ostrava than it used to be. What would you say to that as somebody who lived at that<br />
time?<br />
It is not true. When I worked here I remember that I used to take a lift to the top of a blast<br />
furnace which is at the height of 70 meters and look around. I had a nice view of the whole<br />
Ostrava city and I could see how a thick layer of smog is hanging over the city and how it stunk.<br />
Who is saying that it used to be better is a liar. I can compare it. Because I lived at that time and<br />
I know what was it like over here. At the coke plant there was a lot of bad smell, gas and smoke as<br />
the coking chambers did not seal well. It is not like that any more. It is all well packed and it is being<br />
exhausted. The sinter plant is dedusted with<br />
a state-of-the-art filter. Indeed a lot has changed<br />
here. The air is much better now.<br />
What about your family, has anyone ever<br />
worked at the mill?<br />
My children have not. Only my wife did. I met her<br />
at blast furnace. She weight iron ore there. She<br />
came to Ostrava from Zlaté Hory and helped to<br />
build the mill within the Youth Construction. We got<br />
married ten months after the first blast furnace has<br />
been blown-in. So I have got nice memories of the<br />
year 1952.<br />
Stanislav Najvert (38)<br />
Status: widower<br />
Education: Technical school of NHKG,<br />
major: black metallurgy<br />
Family: three children (two daughters<br />
and one son), eight grandchildren and<br />
four great grandchildren<br />
Career: He got a first job when he was<br />
14 at a saw mill in Pustá Polom. He joined<br />
NHKG in November 1951 as a smelter.<br />
He had worked at Blast furnaces for<br />
40 years.
International<br />
My<strong>ArcelorMittal</strong>.com wins European Excellence Award<br />
Our global intranet platform - My<strong>ArcelorMittal</strong>.com - is honored as the best intranet in Europe,<br />
beating Telekom Austria, Deloitte, Energias de Portugal, and MAN Diesel & Turbo. 08.12.2011<br />
Thousands celebrate International Volunteer Work Day<br />
Our Company celebrates the 4th International Volunteer Work Day, initiated and coordinated by<br />
the <strong>ArcelorMittal</strong> Foundation, with thousands of employees volunteering in activities to improve<br />
the lives of those living in our surrounding communities. 02.12.2011<br />
Americas<br />
<strong>ArcelorMittal</strong> Weirton recycles waste and saves costs<br />
The US site discovers a way to turn its roll grinding swarf, a by-product of the steelmaking<br />
process, into high-iron-content briquettes for use as blast furnace feedstock. The initiative can<br />
save the site up to 15,000 US$ per year and can be replicated in other <strong>ArcelorMittal</strong> facilities<br />
worldwide.<br />
Europe<br />
Four Flat Carbon Europe sites win World Class Manufacturing awards<br />
At a ceremony in Luxembourg, representatives from Avellino (Italy), Bremen (Germany), Desvres<br />
(France) and Zaragoza (Spain) were presented with an <strong>ArcelorMittal</strong> World Class Manufacturing<br />
(WCM) Award, in recognition of their operational excellence.<br />
Temirtau inaugurates its reconstructed blast furnace and new billet caster<br />
<strong>ArcelorMittal</strong> Temirtau in Kazakhstan celebrates the inauguration of its relined blast furnace<br />
2 (BF2) and its recently completed continuous casting machine 3 (CCM3) during a ceremony<br />
attended by the President of Kazakhstan, Nursultan Nazarbayev, and our Chairman and CEO, Mr<br />
Mittal.<br />
Flat Carbon Europe and Construction launch Nature range<br />
Our Company’s new collection of organic coated steels for the construction industry – Nature –<br />
is free of hexavalent chromium and heavy metals such as lead.<br />
Africa<br />
Thermal imaging improves safety and efficiency in South Africa<br />
Thermal imaging cameras are being successfully used at three of our sites in South Africa -<br />
Vanderbijlpark, Vereeniging and Pretoria – to make the manufacturing process 30 per cent more<br />
efficient.<br />
Asia<br />
Carrier Quality Improvement Award for <strong>ArcelorMittal</strong> Changzhou<br />
Our Distribution Solutions activities in Changzhou near Shanghai in China are recognised by<br />
world leading air conditioning, heating and refrigerating systems company Carrier with the Quality<br />
Improvement Award, for their strong customer performance throughout 2011.<br />
For more information, go to www.myarcelormittal.com