Investor Presentaiton
TMK
TMK Today - Key Investment Highlights
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TMK
Source: Company data
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Notes: (a) Company estimates for FY 2019
TMK
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Industry-leading market position and large modern asset base
Dominant #1 player in Russian pipe market
State-of-the-art production base with major investments completed over 10 years in 2004-14
Established longstanding relationships with major oil & gas upstream and midstream players
Attractive market fundamentals in Russia
Russia - large low-cost oil producing region; a major market with robust drilling activity in 2017-2019
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TMK dominant player in Russian oil & gas with 32% (a) market share for pipes used in the oil and gas
industry, 63% (a) market share in seamless OCTG
Low-cost position and stability of margins underpinned by significant vertical integration
High degree of vertical integration in the seamless business due to in-house steel production
Ability to pass through costs of steel products - demonstrated by stable margins throughout the cycle
Substantial improvement in the global competitive positioning on the back of Ruble devaluation
Consistent focus on de-leveraging
TMK adheres to prudent and disciplined cost management, which translates into higher margins;
disciplined capex
Strong deleveraging post IPSCO sale
Superior governance practices and uniquely stable and experienced management team
Experienced management team
5 Independent Directors on the Board; The Board of Directors Committees chaired by independent directors
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