BNP Paribas has successfully closed, as Bookrunner, Mandated Lead Arranger and Facility Agent, a US$2,000,000,000 Acquisition Refinancing Package for Russian mining and steel company Mechel OAO. The Facility was arranged and fully underwritten by ABN AMRO, BNP Paribas, Calyon, Natixis, Sumitomo Mitsui Banking Corporation ,Société Générale and Commerzbank. The Acquisition Refinancing Package has refinanced the acquisition of (i) the remaining shares in OAO HC Yakutugol (75% of the statutory issued share capital minus 1 share), (ii) part of the issued share capital of OAO Elgaugol (68.86% of the statutory issued share capital) and (iii) a portion of railway and road between the Zeysk Railway Station (Far Eastern Railway) in Zeysk, far eastern Russia to the Elga coal deposits. The Acquisition Refinancing Package is structured as a 5-year US$1,700,000,000 Pre-export Finance instrument and a 3-year US$300,000,000 Term Loan instrument. General Syndication was launched on Friday November 2nd, 2007 and Banks were invited to participate in the transaction on a take and hold basis for tickets of US$25, 50 and 100 million. A bank meeting took place in London on 6 November 2007 and was very well-attended. General syndication closed with thirteen banks joining the Mandated Lead Arrangers resulting in an oversubscription of the Acquisition Refinancing Package. The Company elected not to increase the Facility size thereby resulting in a scaleback of some commitments along the 21-strong group of banks supporting Mechel in this landmark transaction. The final syndicate is detailed below:

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