Annual report 2012

ŽELEZIARNE PODBREZOVÁ A.S. AN NUAL REPORT 2012 3 I NTRODUCTION FROM THE CHAIRMAN OF THE BOARD OF DIRECTORS With its production programme and state-of-the-art technology facilities, thanks to its highly-skilledemployees and based on the established philosophy, Železiarne Podbrezová a.s. maintained its position as one of the most prominent producers of seamless steel tubes in Europe and the world. You can see our products on all continents thanks to our own sales network, quality and services provided toour customers. In 2012, we improved the quality of our products and servicing thanks to good communication among all those who participated in the achieved results. I would like to thank all our suppliers, subsidiaries, bank institutions, auditors, certification companies and employees at all levels. Because of them, Železiarne Podbrezová a.s. was able to operate without major adverse impacts that would make the Company's operations more difficult. Furthermore, I would like to emphasise that our Company accomplished significant achievements also in areas unrelated to the main production programme, which, nevertheless, had a big impact on the cultural and social life in our region in the area of education, culture and healthcare. We were able to fulfil the welfare programme for our employees and thus,maintain their living standards. For its business and financial partners, Železiarne Podbrezová a.s. is a guarantor of fair play in all areas. We were able to enhance shareholders' assets and prepare significant investment projects for 2013, mainly in the area of steel production, which shall exceed EUR 20 million. The implementation of such investment projects will provide conditions for the quality improvement of our products and also contribute significantly to the improvement of our region's environment. I believe that the time will come when steel production will be viewed as a strategic industry not only by the European Union but alsoby theGovernment of the SlovakRepublic. In the previous year, Železiarne Podbrezová a.s., with about 3,400 employees, provided work for seven hundred other small and medium-sized businesses. I am pleased that we managed to prepare favourable conditions for young people in our Private Secondary Apprentice School of Metallurgy. The significant results that we achieved in the field of science and researchwerepresented at the international level. In 2012, Železiarne Podbrezová a. s. was again able tomaintain its position in the strongly-globalised environment of both Europe and the world. I would like to thank all those in the Company and alsooutside, whoparticipated in achieving these results. I believe that the year 2013 will also be successful for our shareholders. Ing. Vladimír Soták Chairman of the Board of Directors Chief Executive Officer