OREANDA-NEWS. On 16 May 2008 Interpipe Limited, a major global producer of steel pipes and railway wheels, announced its key financial results for the full year 2007. The financial information contained in this Press Release is based on Audited Consolidated Financial Statements, prepared in accordance with International Financial Reporting Standards (IFRS).

Revenue and net profit continued to grow by 24.3% and 18.0%, respectively, compared to 2006. The strong performance was the result of a growth in volumes and average prices of both pipe and wheel products. The successful results were achieved due to strong demand for Interpipe’s products, especially from the global oil and gas industry in markets such as the Middle East and North Africa (MENA) and Commonwealth of Independent States (CIS) countries (with the exception of Ukraine).

EBITDA growth of 16.8% in 2007, compared to 2006, resulted from effective product portfolio management despite the cost increase of raw materials.

Overall production of pipes and wheels grew by 2.4% to 1472 thousand tons from 1438 thousand tons in 2006, due to a more effective operation of the existing facilities.

Mr. Alexander Kirichko, Chief Executive Officer of Interpipe commented:

“Over the past 12 months Interpipe has significantly increased its revenue whilst also continuing to implement the company’s investment program and strategic initiatives. In 2007, we activated a contract with Danieli for the construction of an electric arc furnace steel mill which will allow us to further increase our vertical integration. In addition, we also continued the transformation of Interpipe into a transparent, internationally recognized company, which was well received by the international financial community during the placement of our initial Eurobond. The annual results clearly illustrate the company’s ability to effectively respond to a volatile market.”