1. Klöckner & Co SE
A Leading Multi Metal Distributor
Gisbert Rühl
CEO
Q3 2013 Results
Analysts’ and Investors’ Conference
Marcus A. Ketter
CFO
November 6, 2013

2. Disclaimer
This presentation contains forward-looking statements which reflect the current views of the management of
Klöckner & Co SE with respect to future events. They generally are designated by the words “expect”, “assume”,
“presume”, “intend”, “estimate”, “strive for”, “aim for”, “plan”, “will”, “strive”, “outlook” and comparable expressions and
generally contain information that relates to expectations or goals for economic conditions, sales proceeds or other
yardsticks for the success of the enterprise. Forward-looking statements are based on currently valid plans, estimates
and expectations. You therefore should view them with caution. Such statements are subject to risks and factors of
uncertainty, most of which are difficult to assess and which generally are outside of the control of Klöckner & Co SE. The
relevant factors include the effects of significant strategic and operational initiatives, including the acquisition or
disposition of companies. If these or other risks and factors of uncertainty occur or if the assumptions on which the
statements are based turn out to be incorrect, the actual results of Klöckner & Co SE can deviate significantly from those
that are expressed or implied in these statements. Klöckner & Co SE cannot give any guarantee that the expectations or
goals will be attained. Klöckner & Co SE – notwithstanding existing obligations under laws pertaining to capital markets –
rejects any responsibility for updating the forward-looking statements through taking into consideration new information
or future events or other things.
In addition to the key data prepared in accordance with International Financial Reporting Standards, Klöckner & Co SE is
presenting non-GAAP key data such as EBITDA, EBIT, Net Working Capital and net financial liabilities that are not a
component of the accounting regulations. These key data are to be viewed as supplementary to, but not as a substitute
for data prepared in accordance with International Financial Reporting Standards. Non-GAAP key data are not subject to
IFRS or any other generally applicable accounting regulations. Other companies may base these concepts upon other
definitions.
2

3. Klöckner & Co SE
A Leading Multi Metal Distributor
Gisbert Rühl
CEO
Highlights and update on strategy

4. Agenda
01
Highlights and update on strategy
02
Financials Q3/9M 2013
03
Outlook
04
Appendix
4

5. 01
•
•
•
•
•
Highlights
Markets in Q3 continued to be weak in Europe (-2.1% yoy)* but improved in the US (+4.6% yoy)**
Klöckner & Co turnover decreased by 8.3% yoy also due to restructuring measures (-4.9%p) and further reduction of
commodity business; sales down by 13.4% yoy
Gross profit margin improved from 16.6% to 18.5%. Gross profit declined consequently significantly less than sales
by 3.2% to €296m
EBITDA of €39m (before restructuring) met guidance of €30-40m also without €6m one-off from the release of
pension accruals
Restructuring program KCO 6.0 far advanced: 61 out of 71 sites closed and HC reduced by more than 2,000 since
9/2011; all measures to be implemented by the end of 2013
•
Optimization measures KCO WIN with EBITDA-contribution of €20m in 2014 and additional €30m in 2015 onwards
initiated
•
FY-EBITDA target of €140m (before restructuring) and positive FCF confirmed
* Source: Eurometal; turnover of distribution in Q3 in Europe yoy.
** Source: MSCI; turnover of distribution/SSC in Q3 in the US yoy.
5

6. 01
Restructuring program KCO 6.0 on track and far advanced
Measures
•
•
•
•
•
•
•
Remaining measures in France and the US (optimization after integration of macsteel) to be implemented
by the end of the year
Total headcount reduction 2,200 = 19% (2,000 already realized)
Total site closures 71 = 24% (61 already closed or sold)
Total cost reduction of €190m (€107m realized)
Total annual EBITDA-impact of ~€160m (€94m realized)
Reduction of NWC by >€170m largely realized
Additional cost of approximately €25m mainly offset by NWC release
€51m
2011-2012
2013
€43m
€65m
€45m
2014
already realized
6
Total annual EBITDA-impact of ~€160m

7. 01
Turnaround through self-help measures visible despite weak markets
KCO 6.0 EBITDA-impact
Q3
KCO 6.0 EBITDA
contribution
€14m
39
2
Comments
•
9
-23
10
44*
18
36
19
11
-14
6
29
5
16
•
-4
EBITDA
Q3 2012
YTD
Volume
Effect
Price
Effect
KCO
6.0 GP
effect
KCO 6.0
Cost effect
KCO 6.0 EBITDA
contribution
€43m
20
-23
39
14
110
2
25
39
10
44*
108
95
-14
30
4
EBITDA
9M 2012
EBITDA
Q3 2013
Volume
Effect
Price
Effect
•
Restructuring charges
Market related GP effect: €-5m
115
OPEX 1)
29
60
16
-4
17
KCO
6.0 GP
effect
Market related GP effect: €-69m
KCO 6.0
Cost effect
OPEX1)
EBITDA
9M 2013
7
•
In Q3 measures contributed an
additional €14m to EBITDA against
prior year, ytd €43m
Cost cuts achieved trough KCO 6.0
amounted to €19m in Q3, ytd €60m
Negative volume and price effects of
€5m in Q3 overcompensated by €14m
positive KCO 6.0 effects
Neagtive volume and price effects ytd
of €69m for the most part
compensated by €43m positive
KCO 6.0 effects
1)
Incl. one-off gain of €6m (ytd €13m) due to release of pension provisions.

8. 01
Further improvement potential through KCO WIN measures with short term EBITDAcontribution
Reaction to still unsatisfying market environment in Europe
•
•
•
•
•
Optimized pricing and sales force management
Improved customer relationship management
Further improved sourcing to leverage price potential
Reduction of logistic costs
Downsizing of corporate and country holdings
2014
€20m
Total annual EBITDA-impact of ~€50m
2015
€30m
8

9. SERVICES
MARKETS
01
KCO WIN measures support our unchanged long-term strategy
US
CH +
BSS
EUROPEAN
GENERAL
LINE
KCO WIN
Growth market is the US where re-shoring of manufacturing will be driven by low
energy and labor costs
Profitable business units in Switzerland and BSS should grow further and stabilize
their high earnings level
Profitability of European general line distribution business has to be improved
short-term

Transformation towards higher value-added services also to integrate more into
the supply chains of our customers

PRODUCTS
Competitive advantage against smaller and mid-size competitors by providing a
brought range of multi metals and services through widespread net work structure
Improvement of product portfolio by reducing commodities further and increasing
sales of higher margin products
9


10. Klöckner & Co SE
A Leading Multi Metal Distributor
Marcus A. Ketter
CFO
Financials Q3 2013

11. Agenda
01
Highlights and update on strategy
02
Financials Q3/9M 2013
03
Outlook
04
Appendix
11

12. 02
Financials Q3 2013
Turnover
Sales
€1,847m
-8.3%
-13.4%
1,764 Tto
1,617 Tto
Q3 2012
€1,600m
Q3 2013
Q3 2012
Gross profit
Q3 2013
EBITDA
-3.2%
€306m
+113.9%
€296m
Q3 2012
€18m*
+100.1%
Q3 2012
Q3 2013
* Restated for the initial application of IAS19 revised 2011.
Restructuring costs
12
€39m
€36m
Q3 2013

13. 02
Financials 9M 2013
Turnover
Sales
-14.5%
-9.7%
€5,755m
5,483 Tto
4,953 Tto
9M 2012
€4,922m
9M 2013
9M 2012
Gross profit
€993m
€989m
EBITDA
-9.0%
-8.7%
€115m*
-4.2%
€904m
€95m*
9M 2012
9M 2013
9M 2013
9M 2012
* Restated for the initial application of IAS19 revised 2011.
Restructuring costs
13
€110m
€108m
+13.9%
9M 2013

14. 02
Turnover and sales
Turnover (Tto)
1,857
Sales (€m)
+30.5%
1,863
1,765
1,764
1,636
1,585
1,646
1,885
1,690
1,945
1,964
1,739
1,847
1,633
1,617
1,625
-5.8%
-4.3%
•
•
Q4
2011
Q1
2012
Q2
2012
Q3
2012
Q4
2012
Q1
2013
1,600
-13.4%
-8.3%
Q3
2011
1,698
Q2
2013
Q3
2011
Q3
2013
Q4
2011
Q1
2012
Q2
2012
Q3
2012
Q4
2012
Q1
2013
Q2
2013
Q3
2013
•
Turnover share of Americas segment increasing
from ~40% in Q3 2011 to over 44% in Q3 2013
14
Sales -13.4% yoy additionally impacted by lower
price level
•
Turnover down 8.3% yoy due to weak steel markets
and restructuring impact of -4.9%p and sequentially
down by 4.3%
Average price per ton down yoy (Q3 2013: €990 vs.
Q3 2012: €1,047)

15. 02
Gross profit and EBITDA
Gross profit (€m) / Gross-margin (%)
EBITDA (€m) / EBITDA-margin (%)
50*
344
47*
344*
43*
37
2.4*
2.5*
39*
2.5*
2.4*
1.8
1.9
318
306
307
17.6
17.7
Q3
2011
•
302*
17.5*
16.8
18.5*
18.6
18.0
Q1
2012
Q2
2012
Q3
2012
Q4
2012
Q1
2013
Q2
2013
296
29
1.0
21*
1.3*
303
16.6
Q4
2011
305
1.3*
24*
18.5
18
+~1%p
Q3
2013
Q3
2011
•
Despite further declining prices, gross profit margin
improved compared to Q3 2012 mainly due to exit of
low margin business
Q4
2011
Q1
Q2
Q3
Q4
Q1
2012** 2012** 2012** 2012** 2013
Q3
2013
Strong cost reduction with positive effect on
EBITDA-margin, generating significantly higher
EBITDA yoy
* Before restructuring costs and including in Q2 2013 €7m and in Q3 2013 €6m pension release; without release 2.1% EBITDA-margin in Q2 as well as in Q3.
. As restated for the initial application of IAS19 revised 2011.
**
15
Q2
2013

16. 02
Key figures by segment
Turnover (Tto)
Sales (€m)
1,251
35
1,149
1,041 1,017 1,061 1,006
1,018
990
Europe
1,223 1,237
1,137
1,105 1,097
1,067
EBITDA before restructuring (€m)
908
930
941
903
28**
24
22
22
16
12
Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3
2011 2011 2012 2012 2012 2012 2013 2013 2013
Turnover (Tto)
Q3
Q4
Q1
Q2
Q3
Q4
Q1
Q2
Q3
2011 2011 2012 2012 2012 2012 2013 2013 2013
Sales (€m)
766
Americas
722
749
746
716
634
EBITDA before restructuring (€m)
727
698
602
592
608
637
594
29
714
22
21
677
15
646
-4.2%
20
20
16
13
12
-14.9%
Q3
Q4
Q1
Q2
Q3
Q4
Q1
Q2
Q3
2011 2011 2012 2012 2012 2012 2013 2013 2013
Europe
Americas
Q3
Q4
Q1
Q2
Q3
Q4
Q1
Q2
Q3
2011 2011 2012* 2012* 2012* 2012* 2013 2013 2013
698
Restructuring costs (€m)
14
-12.4%
-11.3%
752
26**
Q3
Q4
Q1
Q2
Q3
Q4
Q1
Q2
Q3
2011 2011 2012 2012 2012 2012 2013 2013 2013
Q4 2011
Q1 2012
Q2 2012
Q3 2012
Q4 2012
Q3 2013
10
3
17
-1
57
1
Q3
Q4
Q1
Q2
Q3
Q4
Q1
Q2
Q3
2011 2011 2012 2012 2012 2012 2013 2013 2013
2
* As restated for the initial application of IAS19 revised 2011.
** Including pension release: Q2 2013 €7m and in Q3 2013 €6m.
16

17. 02
Cash flow and net debt development
Cash flow reconciliation in Q3 2013 (€m)
Comments
-3
•
36
NWC reduced qoq due to seasonally driven
weak market environment and optimization of
inventories
•
•
-9
Net Capex of €11m
-16
-11
44
36
33
EBITDA Change in Interest Taxes
reported NWC
Other
CF from Capex
operating net
activities
Free CF
Development of net financial debt in Q3 2013 (€m)
Q2 2013
CF from
operating
activities
Capex
net
Other*
Q3 2013
462
489
44
-11
-6
* exchange rate effects, interest.
17
Other items include changes in other
operating assets and liabilities (including
provision) and other non-cash income and
expenses

18. 02
Strong balance sheet
Assets
3,880
Non-current assets
1,107
Equity & liabilities
3,880
3,712
1,039
Equity
1,502
3,712
38.7%
Inventories
1,254
1,512
40.7%
1,384
1,174
Trade payables
634
606
Other current liabilities
360
420
1,168
Non-current liabilities
Trade receivables
787
843
Other current assets
122
Liquidity
610
103
559
Dec 31, 2012* Sept 30, 2013
Dec 31, 2012* Sept 30, 2013
Comments
•
•
•
•
Equity ratio further solid at 41%
* As restated for the initial application of IAS 19 rev. 2011.
Net debt of €462m
** Gearing = Net debt/Equity attributable to shareholders of
Klöckner & Co SE less goodwill from business
combinations subsequent to May 23, 2013.
Gearing** at 31%
NWC decreased by €51m to €1,405m qoq
18

19. 02
Balanced maturity profile September 2013
Drawn amount
€m facility
€m
Committed
Q3 2013*
Q3 2013
FY 2012*
Adjusted equity
539
124
98
4
4
9
ABS
564
191
161
Gearing 4)
Syndicated Loan
360
161
161
Promissory Note 2)
269
273
348
Maturity profile of committed facilities and drawn
amounts (€m)
867
Bilateral Facilities
1)
Other Bonds
1,491
462
Net debt
31%
11
Total Senior Debt
1,736
753
777
Convertible 2009 3)
98
95
92
Convertible 2010 3)
186
173
164
360
457
372
Total Debt
Cash
2,020
1,021
559
1,033
186
26
204
611
182
62
Net Debt
462
422
*Including interest
1) Including finance lease.
2) Early redemption of €34m of promissory notes in Q4 2013.
3) Drawn amount excludes equity component.
4) Net debt/Equity attributable to shareholders of Klöckner & Co SE less goodwill from business combinations
subsequent to May 23, 2013.
5) Incl. Swiss facilities of €172m which are automatically renewed on a yearly basis.
2013
5)
62
98
30
306
49
71
186
2015
Syndicated loan
Left side: committed facilities
19
8
253
11
71
180
160
57
98
ABS
68
360
22
2014
Bilaterals
268
186
136
136
2016
Promissory notes
Right side: drawn amounts
204
123
Thereafter
Convertibles

20. Klöckner & Co SE
A Leading Multi Metal Distributor
Gisbert Rühl
CEO
Outlook

21. 03
Current trading and outlook
•
Europe
•
•
•
US
Brazil
•
•
•
China
•
Outlook for construction is mixed: Further recovery in U.K. expected, housing in Germany remains relatively
strong but also non-res is gaining some momentum, NL seems to be through the trough, Switzerland remains
healthy and France weak
Automotive continues to be weak in France, is improving slightly in Germany and doing well in UK
After mechanical engineering dropped significantly in the beginning of this year especially in Germany market is
currently gaining momentum into 2014 through pent-up demand and improving exports
Automotive, energy, HVAC, shipbuilding and residential construction were strong this year, while military
equipment, non-res construction, mining, yellow goods were weak
Picture will not change significantly for the most sectors except non-res construction where volumes should
pick-up slightly
Appliances, agricultural equipment and non-res construction are expected to stay strong, whereas demand for
industrial machines, sugar mills, electronics and residential construction remain low
Engineering, energy, port equipment and railway continues to be strong, whereas mining equipment and
construction machinery business are expected to remain weak
China's policy remains to discourage exports of primary steel products; instead, exports of value-added products,
such as steel components, machinery, heavy equipment, marine oil-drilling platforms are being supported. In this
area significant growth is expected
21

22. 03
•
Outlook
Q4 2013
•
Turnover and sales to be seasonally lower but less pronounced because of improving outlook in
the US
•
EBITDA guidance of €30m before restructuring driven by further restructuring effects kicking in
•
FY 2013
•
Turnover and sales expected to come in below prior year`s level mainly due to weaker markets in
H1 and restructuring impact
•
•
•
EBITDA target at last year`s level of €140m before restructuring costs confirmed
Free cash flow expected to be again meaningful positive
Net debt again to be reduced further yoy despite restructuring cash-outs
22

23. Agenda
01
Highlights and update on strategy
02
Financials Q3/9M 2013
03
Outlook
04
Appendix
23

24. 04
Quarterly results and FY results 2009-2013
(€m)
Q3
2013
Q2
2013
Q1
2013
Turnover (Tto)
1,617
1,690
1,646
Sales
1,600
1,698
Gross profit
296
% margin
Q3
2012*
Q2
2012*
Q1
2012*
Q4
2011
1,585
1,764
1,863
1,857
1,636
1,765
7,068
6,661
5,314
4,119
1,625
1,633
1,847
1,964
1,945
1,739
1,885
7,388
7,095
5,198
3,860
305
303
298
306
340
344
307
318
1,288
1,315
1,136
645
18.5
18.0
18.6
18.3
16.6
17.3
17.7
17.6
16.8
17.4
18.5
21.9
16.7
EBITDA rep.
36
43
29
-35
18
33
44
14
37
60
217
238
-68
% margin
2.3
2.5
1.8
-2.1
1.0
1.7
2.3
0.8
1.9
0.8
3.1
4.6
-1.8
EBIT
10
17
2
-89
-9
-24
18
-18
8
-105
111
152
-178
-19
-19
-19
-14
-22
-18
-25
-21
-22
-80
-84
-67
-62
Income before taxes
-8
-2
-16
-103
-31
-42
-8
-39
-15
-185
27
84
-240
Income taxes
-3
-2
1
-19
3
3
-4
12
3
-18
-17
-4
54
-11
-4
-16
-123
-29
-39
-12
-27
-12
-203
10
80
-186
0
0
0
-1
-1
0
1
-1
-1
-3
-1
3
3
-11
-4
-16
-122
-28
-39
-11
-27
-11
-200
12
78
-188
EPS basic (€)
-0.11
-0.04
-0.16
-1.22
-0.28
-0.39
-0.11
-0.27
-0.11
-2.00
0.14
1.17
-3.61
EPS diluted (€)
-0.11
-0.04
-0.16
-1.22
-0.28
-0.39
-0.11
-0.27
-0.11
-2.00
0.14
1.17
-3.61
462
489
482
422
596
582
573
471
580
422
471
137
-150
1,405
1,456
1,491
1,407
1,666
1,685
1,656
1,534
1,692
1,407
1,017
637
Financial result
Net income
Minority interests
Net income KlöCo
Net debt**
NWC**
Q4
2012*
*) Restated due to initial application of IAS19 revised 2011.
**) End of each quarter.
24
Q3
2011
FY
2012*
FY
2011
1,534
FY
2010
FY
2009

25. 04
Balance sheet as of September 30, 2013
(€m)
September 30, 2013
December 31, 2012*
Comments
Non-current assets
1,039
1,107
Shareholders’ equity:
Inventories
1,168
1,254
Trade receivables
843
787
•
Cash & Cash equivalents
559
610
Other assets
103
122
Total assets
3,712
3,880
Equity
1,512
1,502
Total non-current
liabilities
1,174
1,384
792
914
Total current liabilities
1,026
994
thereof trade payables
606
634
Total equity and
liabilities
3,712
3,880
Net working capital
1,405
1,407
462
422
thereof financial liabilities
Net financial debt
*) Restated due to initial application of IAS19 revised 2011.
25
Increase from 39% to 41%
Financial debt:
•
•
Gearing at 31%
Gross debt of €1.0bn and cash
position of €0.6bn result in a net
debt position of €462m

26. 04
Profit & loss Q3 2013
(€m)
Q3 2013
Q3 2012*
1,600
1,847
296
306
Personnel costs
-134
-155
Other operating expenses (net)
-126
-133
36
18
-26
-28
10
-9
-19
-22
EBT
-8
-31
Taxes
-3
3
-11
-29
0
-1
-11
-28
Sales
Gross profit
EBITDA
Depreciation & Amortization
EBIT
Financial result
Net income
Minorities
Net income attributable to KCO shareholders
*) Restated due to initial application of IAS19 revised 2011.
26

27. 04
Segment performance Q3 2013
(€m)
Europe
Americas
HQ/Consol.
Total
Q3 2013
903
714
1,617
Q3 2012
1,018
746
1,764
-11.3
-4.2
-8.3
Q3 2013
1,006
594
1,600
Q3 2012
1,149
698
1,847
-12.4
-14.9
-13.4
Turnover (Tto)
Δ%
Sales
Δ%
EBITDA incl. restructuring expenses
Q3 2013
26
17
-7
36
% margin
2.6
2.9
Q3 2012*
12
12
%margin
1.2
1.7
1.0
Δ % EBITDA
97.7
44.3
100.1
2.3
-7
18
* Restated due to initial application of IAS19 revised 2011.
27

28. 04
Sales split by market, product and industry
Sales by market
Sales by industry
US
38%
Germany/EEC
25%
Construction industry 36%
Machinery and mechanical engineering 26%
France/Belgium
13%
Local dealers
Switzerland
10%
12%
Automotive industry 10%
UK
6%
Spain
Netherlands
Brazil
3%
3%
1%
China
<1%
Miscellaneous
Household appliances/
Consumer goods
6%
Sales by product
Flat products
46%
Long products
21%
Quality steel/
Stainless steel
8%
Tubes
7%
Aluminum
7%
Others
10%
11%
As of December 2012.
28

29. 04
Current shareholder structure
Comments
Geographical breakdown of identified
institutional investors
US
Germany
•
42%
26%
•
France
9%
UK
6%
•
Switzerland
5%
•
Other EU
5%
Other World
7%
As of October 2013.
29
Identified institutional investors
account for 51%
German investors incl. retail
dominate
Top 10 shareholdings represent
around 23%
Retail shareholders represent 28%

30. 04
Contact
Financial calendar 2013/2014
November 6, 2013
Q3 interim report 2013
March 6, 2014
Annual Financial Statements 2013
May 8, 2014
Q1 interim report 2014
May 23, 2014
Annual General Meeting 2014, Düsseldorf
August 7, 2014
Q2 interim report 2014
November 6, 2014
Q3 interim report 2014
Contact details Investor Relations
Christian Pokropp, Head of Investor Relations & Corporate Communications
Phone:
+49 203 307 2050
Fax:
+49 203 307 5025
E-mail:
christian.pokropp@kloeckner.com
Internet:
www.kloeckner.com
30

31. Our Symbol
the ears
attentive to customer needs
the eyes
looking forward to new developments
the nose
sniffing out opportunities
to improve performance
the legs
always moving fast to keep up with
the demands of the customers
the ball
symbolic of our role to fetch
and carry for our customers