The Armcorp Group Companies

Tradition and innovation: The industrial sector is continuously in flux, this brings new opportunities and challenges for the market players. As a young group our aspiration in the steel industry is to fill a new market position. On the one side we strive to follow the already existing traditional standards, but on the other side we must be open for new approaches to further the industry. This must be done keeping in mind both the technological as well as the organizational point of view. Our goal is to adapt to the changed global market situation in terms of the fulfilment of customer needs as a starting point and therefore to supply the optimal product range utilizing the specific know-how of our in-group partners. Our international group consists of members in Hungary, Austria, and Italy. Our group has 34 employees in 4 different countries. The members of our commercial group can supply the market continuously with a wide range of flat and long products directly from mills or from our warehouses. We have improved our services by obtaining interest in Steel Service Centres. This allows our customers to order custom sized, decoiled steel plates and strips. Due to the direct contracts with Mills we can deliver the products to our customers on an “as needed basis” in this way avoiding the typical steel industry price and exchange rate risks. We offer innovative solutions for different products made from wires. For example steel fibres that replaces the wire mesh in concrete or steel wool that can also be used for the cleaning of different surfaces. We have built our Company Group in such a way that we keep an eye out to be flexible and cost efficient. Our cost efficiency gives us the opportunity for further investments and improvements as a result of this we can expand our product lines as well as the production capacities of the group. During our expansion we are putting special emphasis on increasing the added value of the offered steel products.

The members of the Group are:

ARSI-ARMCORP Zrt HU Wholesale of steel products 5. p.

Armcorp InnoTech Kft HU Wholesale of wire products 6. p.

Nuovasider Srl IT Production of Plates and steel strips in cold rolled coils 7. p.

Arsi-Armcorp Drótgyár Zrt. HU Produced wires,flame welding rods,wawe grid,

flattened wires and rebars.

The Company’s ownership structure can be seen on the next page.

ARSISCO

Stahlhandel GmbH. (AT)

Arsi-Armcorp Zrt. (HU)

Armcorp East

Europe Ltd. (USA)

Armcorp

InnoTech Kft. (HU)

Nuovasider Srl. (IT)

Oxána Turányi (UA)

Csaba Turányi (HU)

Ownership structure of the Armcorp Group

Arsi-Armcorp Drótgyár Zrt.

(HU)

Arsi-Project Consulting Kft.

- production sites: Wien (AT), San Quirino (IT),

- commercial offices: Wien (AT), Budapest (HU)

Address: 1054 Budapest, Kálmán Imre str. 1

Reg. Number: 13-10-047547

VAT Number: 14630411-2-41

Our company was established in January of 2009 and is under 100% foreign ownership.

The main activity of the companies in this division is the wholesale of steel and steel products.

We serve our customers from our Budapest, Vienna and Italian warehouses with swift delivery times. We are able to continuously supply the requested products and utilising our „just in time” system meet our customers requirements. Therefore it is our aim for our partners not to suffer from the typical steel trade price and currency fluctuations. We provide our customers with the needed product range as they need it and therefore prevent them from having to build up large stocks which alleviates possible cash flow problems.

Due to our acquiring part ownership in various service centres we have the possibility to provide customized sizes of decoiled steel plates and strips.

We are able to produce hot rolled sheets in 2,5 - 20 mm thicknesses up to 2000 mm width. Beside the common steel grades (S235JR, S355J2+N) the high-end mill can cut high strength steel qualities (S700MC, etc.) also. The perfect quality produced meets all the requirements of the industry.

In thin material thicknesses we have possibility to decoil 0,5 - 6 mm mainly in DC01, DX51D and DD11 grades. The 20 mm width in steel strip we’re producing is unique all over Europe. Our other service is to cut the strips to custom length.

As a member of the Hungarian Steel- and Iron Traders Association (MAFE) we take a part in the local cooperation.

Our quality management was approved in 2012 to the requirements of ISO 9001. The SAP integrated business system supports our processes.

We became a group by the acquisitions of the owners and having activities mainly in the countries of the Central European region. In 2013 the group had a new member - a Steel Service Centre in Italy.

Address: 1054 Budapest, Kálmán Imre str. 1

Reg. Number: 01-09-175664

VAT Number: 24654641-2-41

Our company was established in 2013 with private Hungarian and International ownership.

The main activity of Armcorp InnoTech Kft. is the wholesale of wire products. In addition to wires there is significant focus on innovative

products:

steel fibers for concrete reinforcement

milled cut steel fibers for concrete reinforcement

black annealed wires

hot dipped zinc coated wires

wire nails

cylindrical cut wire for shot blasting

spherical conditioned cut wire for shot peening

steel wool

chopped steel wool

non-toxic steel shot for shot shells

We have continuous material supply that allows us to deliver the products to our customers with short delivery times from our Hungarian

warehouses as well as from our partner factories.

We have a continuous supply of our products, within which we can deliver with very short delivery times according to the needs of our

customers.

We secure the needed products in such a way as to keep their inventory low which can lead to lessening of possible cash flow problems.

In 2013 our production sites were approved and licensed according to the ISO 9001 norms.

Address: Via Masieres, 11 – Z.I., I-33080 San Quirino (PN) Reg. Number: PN – 48060 VAT Number: IT01177520937

Our company was established in 1990. It was 100% privately owned and was changed to the new ownership structure in 2013. We employ 9 full

time people at this time.

The main profile of the company is production and sale of cold plates, as well as strips from coils, we are only company in the region that can

produce the 20 mm width in steel strips as well as the unique formats in plates.

Production capacity p.a.: 30 000 tons.

The production parameters are detailed in the tables below:

Sheet cut.line

Thickness: 0,35 - 3,00 mm

Width: 500 - 1550 mm

Length: 500 - 4000 mm

Coil weight: 15,0 tonna

Pack.weight: Max. 3,0 tons

Slitting line:

Thickness: 0,35 - 3,0 mm

Coil width: 20 - 1250 mm

Coil Weight: Max. 15,0 tons

Outside diameter: Max. 1360 mm

Inside diameter: 500 - 600 mm

Cutting line No 1: Cutting line No 2:

Thickness: 0,35 - 6,0 mm Thickness: 0,35 - 3,0 mm

Width: Max. 3000 mm Width: Max. 3500 mm

Length: (+/-0,5mm) 20 - 1000 mm Length:(+/-0,5 mm) 20 - 990 mm

Length: (+/-1,0mm) 1000 - 3000 mm Length (+/-1,0 mm) 990 - 3000 mm

Packaging weight: Max. 3,0 tons Packaging weight: Max. 3,0 tons

Company Net Sales in (€) Sales (tons)

Arsi-Armcorp Zrt.

Company Group

34.233.147,- 31.065

5% 7%

37% 27%

6% 4%

14%

2014 product sales percentages

Reinforcing steel

Mesh

Hot-rolled flat plate

HR plate

Coated

Coled - rolled plate

Coil

ARCELORMITTAL DISTRIBUTION HUNGARY KFT

SALZGITTER MANNESMANN ACÉLKERESKEDELMI KFT

KÉSZ ZRT

RÁBA JÁRMMŰTECHNIKAI KFT

VOLKSWAGEN GROUP

RENAULT GROUP

FIOCCHI MUNIZIONI SPA

CLEVER SRL

CHEDDITE SRL

MAXAM

WINCHESTER AMMUNITION

REMINGTON ARMS COMPANY LLC

ARSI-ARMCORP Zrt., Hungary

2092 Budakeszi, Tiefenweg u. 18.

Tel: +36 30 228 8501

Fax: +36 23 450 078

E-mail: info@armcorpzrt.hu

Web: www.armcorpzrt.hu

NUOVASIDER Srl, Italy

I-33080 San Quirino (PN), Via Masieres, 11 – Z.I.

Tel.: +39 340 701 7937

Fax: + 39 434 919 585

E-mail: info@nuovasidersrl.it

Web: www.nuovasidersrl.it

ARMCORP InnoTech Kft, Hungary

1054 Budapest, Kálmán Imre utca 1.

Tel.: +36 30 200 5649

Fax: +36 14 751 111

E-mail: larisza.denes@armcorpinnotech.com

Web: www.armcorpinnotech.com

Arsi-Project Consulting Kft.

1123 Budapest, Kékgolyó u. 10. II. em. 6.

Tel.: +36 20 930 8443

dr.balazs@balazs-bacs.hu